Historians are in general agreement that (a) railroads opened the country and were built at great ...

Historians are in general agreement that
 
  (a) railroads opened the country and were built at great risk ahead of demand, gambling on the future.
  (b) railroads sharply cut down transportation costs, linking the country together in all directions
  and spurring the nation's growth far in advance of anything that might otherwise have been achieved.
  (c) railroads were the single innovation of the 19th century that created a great leap forward
  in terms of American economic growth.
  (d) none of the above are true.

Question 2

Which of the following are NOT true?
 
  a. Credit cards are the same as debit cards when determining the money supply.
  b. Credit cards are included in M2 but not M1.
  c. Credit cards do not impact the demand for money.
  d. Credit cards are a means of payment.
  e. All of the above are true.

Question 3

The Sherman Antitrust Act of 1890 was not well understood because
 
  (a) skilled lawyers were not involved in its creation.
  (b) judges were mainly political hacks and therefore were unable to follow the logic of the Act.
  (c) vested interests had been allowed too much influence in drafting the legislation.
  (d) the purpose of the legislation was not sufficiently clear when it was drafted.

Question 4

The turnpikes built in the early 1800s were
 
  (a) intercity toll roads.
  (b) highly profitable enterprises.
  (c) financed entirely by private enterprise.
  (d) regulated by the federal government.

Question 5

Fiat money is:
 
  a. includes currency and gold in bank vaults.
  b. does not include coins.
  c. is backed by any sort of commodity.
  d. has no value outside of its use as money.

Question 6

The Sherman Antitrust Act of 1890
 
  (a) did not specify what economic actions are legal.
  (b) said that only competitive economic actions were legal.
  (c) declared illegal every combination in restraint of trade.
  (d) declared none of the above.

Question 7

The Gallatin Plan (1808)
 
  (a) was a plan by the U.S. Senate for a comprehensive system of internal land and water transport
  in the eastern part of the country to be built by the federal government.
  (b) was promoted on the basis that only the federal government could command sufficient resources to build a transportation system.
  (c) was partially implemented but not completed by the federal government because of concerns about the constitutionality of such federal action.
  (d) was characterized by all of the above.

Question 8

Assuming a decrease in money demand, then to keep interest rates constant the Fed must
 
  a. keep the money supply constant.
  b. conduct an open market sale of bonds.
  c. accommodate the decreased demand for money by the public by increasing the money supply.
  d. All of the above
  e. None of the above

Question 9

Albro Martin (1971) argues that the Interstate Commerce Commission (18871995) was
 
  (a) never a case of capture.
  (b) captured by the railroads themselves.
  (c) captured by the customers of the railroads.
  (d) too ineffective to warrant capture by anyone.

Question 10

The Gallatin Plan (1808) to provide internal land and water transport in the eastern part of the country was a plan that
 
  (a) called for the federal government to finance and build the transport system.
  (b) called for the eastern states to join together to finance and build the system.
  (c) called for private financing and building with some federal government assistance
  in coordinating and planning the transport system.
  (d) relied primarily on city and county governments to provide the bulk of the financing and
  building of the transport system.

Question 11

In Nebbia v New York (1934), the doctrine of Munn v Illinois (1877)
 
  (a) was held to be irrelevant.
  (b) was upheld for all cases.
  (c) was upheld for interstate commerce.
  (d) was overturned explicitly.

Question 12

During the great canal-building era, from roughly 1815 to 1843, Hughes and Cain (2011) claim that
 
  (a) most canals earned normal profits.
  (b) no canals earned profits.
  (c) all canals in the initial period of construction earned normal profits but none did in the later period because of over-construction and competition from the railroads.
  (d) the Erie Canal was one of the few, perhaps the only one, to earn normal profits.