View a FREE sample

This quiz consists of 5 multiple choice and 5 short answer questions through Section I. What Creature Is This? Chapter 3 Protectors of the Public.

Multiple Choice Questions

1. Who does the Federal Reserve depend on to bail out the country in times of economic collapse?
(a) The Federal Reserve turns to the taxpayer to bail out the country in times of economic collapse.
(b) The Federal Reserve turns to Congress to bail out the country in times of economic collapse.
(c) The Federal Reserve turns to the foreign investors to bail out the country in times of economic collapse.
(d) The Federal Reserve turns to the banks to bail out the country in times of economic collapse.

2. What city became a major part of the welfare state in 1975?
(a) Atlanta became a major part of the welfare state in 1975 via Federal government bailouts.
(b) Los Angeles became a major part of the welfare state in 1975 via Federal government bailouts.
(c) Chicago became a major part of the welfare state in 1975 via Federal government bailouts.
(d) New York City became a major part of the welfare state in 1975 via Federal government bailouts.

3. What is the true function of the FDIC?
(a) The FDIC is another way to pay off banking mistakes through the taxpayer.
(b) The FDIC is another way to pay off the debt of the taxpayer.
(c) The FDIC is another way to demonstrate the strength of the economy.
(d) The FDIC is another way to support the people who use banks.

4. How did many people feel about those who went too far into debt?
(a) Many felt that the nation had been taught to rely too much on credit.
(b) Many argued that people who went too far into debt had done this on their own--nobody had forced people into the mortgages or credit cards.
(c) Many argued that those in deep debt should be forgiven much of their dept because of the reclining economy.
(d) Many felt that people who were in debt had been encouraged to do so by political figures.

5. How did the Federal Reserve System accomplish the nationalization of banks?
(a) The politics of the Federal Reserve System became new and inventive ways to justify the nationalization of banks through the use of new legislation.
(b) The politics of the Federal Reserve System became new and inventive ways to justify the nationalization of banks through the use of risky loans.
(c) The politics of the Federal Reserve System became new and inventive ways to justify the nationalization of banks through the use of short-term loans.
(d) The politics of the Federal Reserve System became new and inventive ways to justify the nationalization of banks through the use of bailouts.

Short Answer Questions

1. How did the government provide economic support to Lockheed Corporation in 1970?

2. How was the nationalization of banks justified?

3. What did the Federal Reserve System help banks to do?

4. When the entire banking system failed, what did the Federal government turn to to bolster the failed back up system?

5. The Federal Reserve System was designed to control what element of member banks?

(see the answer key)

This section contains 734 words (approx. 3 pages at 300 words per page) View a FREE sample