Question 1

Which of the following best describes domestic policy?

Accepted Answer

Domestic policy refers to public policy that deals with issues within a national unit, such as economic, social, and political matters that affect individuals and communities within a country. This can include matters such as healthcare, education, taxation, and environmental regulations, among others.

Question 2

The principle underlying fiscal policy states that when unemployment is rising and the economy is going into a recession, fiscal policy should:

Accepted Answer

When the economy is in a recession, there is a decrease in demand for goods and services, leading to a decrease in output and employment. By decreasing taxes, households and firms have more disposable income, which they can spend or invest, thereby increasing demand for goods and services, leading to an increase in output and employment. This is known as expansionary fiscal policy.

Question 3

The _____ sells IOUs on behalf of the U.S. government.

Accepted Answer

The U.S. Treasury sells IOUs, specifically treasury bonds, notes, and bills, on behalf of the U.S. government.

Question 4

The final stage of policymaking involves:

Accepted Answer

The final stage of policymaking involves evaluating the success of a policy to determine its effectiveness and whether it should continue, be modified, or discontinued. The other options are earlier stages in the policymaking process.

Question 5

Identify a true statement about an entitlement program.

Accepted Answer

An entitlement program pays out benefits to persons who meet specified requirements. This is the definition and main characteristic of an entitlement program. The other statements are incorrect. For example, Congress does not have direct control over the cost of an entitlement program, as the amount of benefits paid out is determined by the number of eligible individuals who apply and qualify for assistance. Additionally, entitlement programs are not the same as discretionary spending, which is subject to annual appropriations and can be cut or eliminated by Congress.

Question 6

Which of the following is a provision of the health-care bills passed by Congress and signed by President Obama?

Accepted Answer

The provision of the health-care bills passed by Congress and signed by President Obama was that subsidies would be granted to small employers that obtain insurance plans for their employees.

Question 7

The second stage of the policymaking process involves the _____ of specific plans for achieving a particular goal.

Accepted Answer

The second stage of the policymaking process involves the formulation and adoption of specific plans for achieving a particular goal. This stage is where policies are created and agreed upon.

Question 8

Once Congress establishes a policy by enacting legislation, the immediate next action is taken by the:

Accepted Answer

Once Congress establishes a policy by enacting legislation, the immediate next action is taken by the executive branch that enforces the new policy through its agencies. The executive branch is responsible for implementing and enforcing laws passed by Congress.

Question 9

When scholars and scientists conduct studies to determine whether a law has achieved desired results, they are engaging in:

Accepted Answer

Policy evaluation is the process of systematically assessing the performance and effectiveness of a policy or program to determine whether it has achieved its desired outcomes. This involves conducting studies, collecting data, and analyzing results in order to inform future policy decisions. The other options (policy formulation, adoption, implementation, and identification) refer to different stages in the policy-making process.

Question 10

Identify a true statement about oil imports by the United States.

Accepted Answer

The United States imports oil from a variety of countries, ensuring it is not excessively dependent on any single nation for its oil imports.

Question 11

Most climatologists believe that the recent climate change is the result of human activities, especially the release of:

Accepted Answer

The release of greenhouse gases, such as carbon dioxide and methane, is the primary cause of recent climate change, according to most climatologists. These gases trap heat in the Earth's atmosphere and contribute to the warming of the planet. Noble, inert, dielectric, and insulating gases do not have the same effect on the climate.

Question 12

Which of the following statements is true of fracking?

Accepted Answer

Fracking, also known as hydraulic fracturing, has contributed to the United States becoming the world's top oil producer as of 2014, surpassing Saudi Arabia and Russia. It involves injecting a high-pressure mixture of water, sand, and chemicals into shale rocks to release oil and gas.

Question 13

Sixty-two-year-old William is a retired employee. He stays in a nursing home facility with other retired persons. The nursing home mostly caters to low-income people. William's medical expenses are most likely to be covered by _____.

Accepted Answer

Medicaid is a government-funded healthcare program for low-income individuals and families, including seniors who require nursing home care. Since William is a low-income retiree residing in a nursing home, he is likely eligible for Medicaid, which would cover his medical expenses. CHIP is for children, PeachCare is the state of Georgia's children's health insurance program, TRICARE is for military personnel and their families, and Medicare is for individuals over the age of 65 or with certain disabilities, but William's financial situation and living arrangement make him eligible for Medicaid rather than those other programs.

Question 14

Which of the following statements is true of public debt?

Accepted Answer

The interest on treasuries, which are debt securities issued by the government, is indeed paid by federal taxes. This is a primary mechanism through which governments finance their expenditure by borrowing from the public and then repaying this debt along with interest from their revenues, which primarily come from taxation.

Question 15

__________is a renewable source of energy.

Accepted Answer

Hydroelectric energy is a renewable source of energy because it is generated from the natural flow of water.

Question 16

Which of the following actions is most likely to be taken by the Federal Reserve System in periods of rising inflation?

Accepted Answer

In periods of rising inflation, the Federal Reserve System (Fed) is most likely to take actions to reduce the rate of growth in the amount of money in circulation. This is because increasing the money supply can increase inflationary pressures by making each dollar less valuable. The Fed may use tools such as open market operations, reserve requirements, or interest rate adjustments to control the money supply and slow down inflation. Pursuing an easy-money policy or expanding the rate of growth of the money supply would have the opposite effect and likely lead to further inflation. Signing trade embargos is not a tool typically used by the Fed to control inflation, and reducing interest rates may also have the unintended consequence of fueling inflation.

Question 17

Identify a true statement about the tax system in the United States.

Accepted Answer

The Tax Reform Act of 1986 was intended to lower taxes and simplify the tax code, and it did just that for most taxpayers. It eliminated many tax deductions and created new tax brackets, with lower rates. Overall, it was considered a success in achieving its goals of simplifying the system and reducing marginal tax rates for most Americans.

Question 18

Observations collected by agencies such as the National Aeronautics and Space Administration suggest that during the last half century, average global temperatures:

Accepted Answer

Over the last half century, average global temperatures have increased by approximately 0.74 degrees Celsius, as reported by agencies like NASA.

Question 19

Identify a true statement about the U.S. health-care system.

Accepted Answer

The lack of health-care insurance is a well-established problem associated with the U.S. health-care system. A large number of Americans, including many who are employed, cannot afford health insurance or face other barriers to obtaining insurance. Although the percentage of spending on health care in the United States is high, it is not as high as in some other countries. The United States also does not have the most number of health-care insurance policies in the world. Health-care costs in the United States have been increasing, not declining, for years. The federal government plays an important role in health care through programs such as Medicare and Medicaid.

Question 20

The__________is a joint federal-state program that provides health-care insurance for low-income children.

Accepted Answer

The Children's Health Insurance Program (CHIP) is a joint federal-state program that provides health-care insurance for low-income children.

Quiz 15: Domestic Policy