Transcript Test Review - Home - Jefferson Forest High School
TEST REVIEW
F A C T O R S A F F E C T I N G I N C O M E
VOCABULARY
• Outlawed mergers and monopolies that limited competition • Sherman Antitrust Act • Laws that encourage competition in the marketplace • Antitrust Laws • The nation’s consumer protection agency • FTC
VOCABULARY
• An indirect effect of an action, either positive or negative • Externality • Products and services obtained from a company • Private Good • Legal protection of works of authorship • Copyright
VOCABULARY
• The legal authority to own property, use the property as one sees fit, and receive any income off the property • Property Rights • Provides legal protections for inventions • Patent • Protects words, names, and symbols that are used to identify a product or service • Trademark
VOCABULARY
• Protection given to consumers under the leadership of John F. Kennedy • Consumer Bill of Rights • Goods or services provided by the government because private businesses and corporations would not supply since they could not make a profit • Public Good • Products of the mind such as works of art, inventions, movies, etc • Intellectual Property
VOCABULARY
• Government aid to the poor • Welfare • The belief that people should be taxed according to their ability to pay, regardless of the benefits they receive • Ability-to-pay Principle • Cash transfers to retirees • Social Security
VOCABULARY
• Pays workers who get hurt on the job and are no longer able to work • Workers Compensation • The strategy of selling a product below cost to drive competition out of the market • Predatory Pricing • Says that those who benefit from government goods and services should pay in proportion to the amount of benefits they receive • Benefit Principle
VOCABULARY
• Cash transfers by the government to people who lose their jobs through no fault of their own • Unemployment • Income level below what is needed to support families or households • Poverty Threshold • Joining two or more companies into a single firm • Mergerl
VOCABULARY
• A decrease in the government’s involvement in a business or industry • Deregulating • When the government takes money from one group (taxes) and gives to another group • Redistribution Programs
Patents and copyrights are two forms of protection for A.
B.
C.
D.
Physical property Intellectual property Imaginary property Potential property
Patents and copyrights are two forms of protection for A.
B.
C.
D.
Physical property Intellectual property Imaginary property Potential property
Which of the following was NOT part of the 1962 Consumer Bill of Rights?
A.
B.
C.
D.
the right to safety the right to return the right to choose the right to be heard
Which of the following was NOT part of the 1962 Consumer Bill of Rights?
A.
B.
C.
D.
the right to safety the right to return the right to choose the right to be heard
Equity in taxation means that the taxes are A.
B.
C.
D.
very high fair not evenly distributed paid by corporations only
Equity in taxation means that the taxes are A.
B.
C.
D.
very high fair not evenly distributed paid by corporations only
Hazardous gas released from a factory’s smokestack is an example of __________ externality. A.
B.
C.
D.
local positive resource negative
Hazardous gas released from a factory’s smokestack is an example of __________ externality. A.
B.
C.
D.
local positive resource negative
Original works of authorship are protected by __________.
A B.
C.
D.
patents insignias trademarks copyrights
Original works of authorship are protected by __________.
A B.
C.
D.
patents insignias trademarks copyrights
One person’s consumption of a product reducing the amount available for other people is a characteristic of a __________ good.
A.
B.
C.
D.
public private positive negative
One person’s consumption of a product reducing the amount available for other people is a characteristic of a __________ good.
A.
B.
C.
D.
public private positive negative
The Statue of Liberty can be seen for miles around because of its immense size. Since it is impossible to charge people to see the monument it is example of a __________.
A.
B.
C.
D.
Public good Private good Federal commodity Government resource
The Statue of Liberty can be seen for miles around because of its immense size. Since it is impossible to charge people to see the monument it is example of a __________.
A.
B.
C.
D.
Public good Private good Federal commodity Government resource
Which US president established the Consumer Bill of Rights in 1962?
A.
B.
C.
D.
Dwight D. Eisenhower Lyndon B. Johnson Harry S. Truman John F. Kennedy
Which US president established the Consumer Bill of Rights in 1962?
A.
B.
C.
D.
Dwight D. Eisenhower Lyndon B. Johnson Harry S. Truman John F. Kennedy
The enforcement of clean air regulations and providing measures to prevent health epidemics, such as free or below-cost vaccinations, are public services provided by __________.
A.
B.
C.
D.
government consumers monopolies industries
The enforcement of clean air regulations and providing measures to prevent health epidemics, such as free or below-cost vaccinations, are public services provided by __________.
A.
B.
C.
D.
government consumers monopolies industries
When a third party bears a cost for a problem they did not cause, it is known as a __________.
A.
B.
C.
D.
positive externality consumer reaction negative externality government resource
When a third party bears a cost for a problem they did not cause, it is known as a __________.
A.
B.
C.
D.
positive externality consumer reaction negative externality government resource
Public goods are not produced by private sector producers because __________.
A.
B.
C.
D.
There is too much competition They are unable to produce them Monopolies are likely to be formed They will not make an economic profit
Public goods are not produced by private sector producers because __________.
A.
B.
C.
D.
There is too much competition They are unable to produce them Monopolies are likely to be formed They will not make an economic profit
Secure property rights mean that many people can own homes because __________.
A.
B.
C.
D.
The house itself can be used as collateral on a loan The government guarantees the house will be paid for Several families can go in together on the purchase of the home Wealthy citizens have a wide choice of homes available to them
Secure property rights mean that many people can own homes because __________.
A.
B.
C.
D.
The house itself can be used as collateral on a loan The government guarantees the house will be paid for Several families can go in together on the purchase of the home Wealthy citizens have a wide choice of homes available to them
Which of the following is NOT intellectual property?
A.
B.
C.
D a new office building the design for the building a painting of the building software used inside of the building
Which of the following is NOT intellectual property?
A.
B.
C.
D a new office building the design for the building a painting of the building software used inside of the building
Which of the following is not true about predatory pricing A.
B.
C.
D.
is the selling of a product below cost is designed to drive competitors out of the market is good for consumers in the long run is hard to prove
Which of the following is not true about predatory pricing A.
B.
C.
D.
is the selling of a product below cost is designed to drive competitors out of the market is good for consumers in the long run is hard to prove
Laws that encourage competition in the workplace?
A.
B.
C.
D.
price war predatory pricing deregulation antitrust
Laws that encourage competition in the workplace?
A.
B.
C.
D.
price war predatory pricing deregulation antitrust
Which of the following provides medical benefits to the poor?
A.
B.
C.
D.
Workers Compensation Medicare Medicaid Social Security
Which of the following provides medical benefits to the poor?
A.
B.
C.
D.
Workers Compensation Medicare Medicaid Social Security
Which of the following best defines “progressive tax”?
A.
B.
C.
D.
complex tax on people’s earnings high tax designed to raise revenue and reduce consumption of socially undesirable products.
tax on consumer purchases tax that imposes a higher percentage rate of taxation on people with high incomes than those with lower incomes
Which of the following best defines “progressive tax”?
A.
B.
C.
D.
complex tax on people’s earnings high tax designed to raise revenue and reduce consumption of socially undesirable products.
tax on consumer purchases tax that imposes a higher percentage rate of taxation on people with high incomes than those with lower incomes
All are characteristic of secure property rights EXCEPT: A.
B.
C.
D.
The property must be passed down through the family.
Ownership rights must be enforced under the rule of law.
The owner must be able to sell or give the property away.
The property itself must be able to be defined.
All are characteristic of secure property rights EXCEPT: A.
B.
C.
D.
The property must be passed down through the family.
Ownership rights must be enforced under the rule of law.
The owner must be able to sell or give the property away.
The property itself must be able to be defined.
One person’s consumption of a __________ product reduces the amount available for other people.
A.
B.
C.
D.
externality free-rider public private
One person’s consumption of a __________ product reduces the amount available for other people.
A.
B.
C.
D.
externality free-rider public private
Which of the following best defines “regressive tax”?
A.
B.
C.
D.
tax that imposes a higher percentage rate of taxation on people with high incomes than those with lower incomes tax that imposes the same percentage taxation on people of all income levels tax that imposes a higher percentage rate of taxation on people of low incomes than those with higher incomes none of the above
Which of the following best defines “regressive tax”?
A.
B.
C.
D.
tax that imposes a higher percentage rate of taxation on people with high incomes than those with lower incomes tax that imposes the same percentage taxation on people of all income levels tax that imposes a higher percentage rate of taxation on people of low incomes than those with higher incomes none of the above
An oversight in the tax law that allows some people and businesses to avoid paying taxes is called a A.
B. C.
D.
sin tax tax loophole marginal tax tax exception
An oversight in the tax law that allows some people and businesses to avoid paying taxes is called a A.
B. C.
D.
sin tax tax loophole marginal tax tax exception
What is one benefit provided by Social Security?
A.
B.
C.
D.
medical care for poor people cash transfers to people injured on the job compensation for all who lose jobs retirement income for the elderly
What is one benefit provided by Social Security?
A.
B.
C.
D.
medical care for poor people cash transfers to people injured on the job compensation for all who lose jobs retirement income for the elderly
The three criteria for effective taxes are A.
B.
C.
D efficiency, simplicity, and regressiveness efficiency, simplicity, and progressiveness equity, progressiveness, and efficiency equity, simplicity, and efficiency
The three criteria for effective taxes are A.
B.
C.
D efficiency, simplicity, and regressiveness efficiency, simplicity, and progressiveness equity, progressiveness, and efficiency equity, simplicity, and efficiency
Goods and services provided by the government at greatly reduced prices A.
B.
C.
D.
poverty threshold in kind benefits redistribution cash transfers
Goods and services provided by the government at greatly reduced prices A.
B.
C.
D.
poverty threshold in kind benefits redistribution cash transfers
Ann earns $10,000 annually and pays a tax of $1,000. Jerome earns $60,000 during the same period and pays taxes of $20,000. The tax they both paid was a A. B.
C.
D.
proportional tax progressive tax regressive tax marginal tax
Ann earns $10,000 annually and pays a tax of $1,000. Jerome earns $60,000 during the same period and pays taxes of $20,000. The tax they both paid was a A. B.
C.
D.
proportional tax progressive tax regressive tax marginal tax
Which of the following is an example of a cash transfer? A.
B.
C.
D.
social security check certificate of deposit legal aid medicare
Which of the following is an example of a cash transfer? A.
B.
C.
D.
social security check certificate of deposit legal aid medicare
The “incidence of a tax” A.
B.
C.
D.
is a benefit tax refers to those who bear the final burden of taxation is a special tax on individuals with high income is a tax paid by self-employed workers
The “incidence of a tax” A.
B.
C.
D.
is a benefit tax refers to those who bear the final burden of taxation is a special tax on individuals with high income is a tax paid by self-employed workers