What do Baack and Ray (1983) find in their survey of U.S. tariff history? (a) Tariff rates in the ...

What do Baack and Ray (1983) find in their survey of U.S. tariff history?
 
  (a) Tariff rates in the U.S. were low.
  (b) Tariff cuts were associated with the fast-growing industries.
  (c) The highest tariff rates in the U.S. were associated with the fastest growing industries.
  (d) The U.S. was a world leader in free trade policy.

Question 2

Which of the following are the most frequently utilized tools of fiscal policy in the United States?
 
  a. Indirect business taxes
  b. Corporate income taxes
  c. Inheritance taxes
  d. Personal income taxes

Question 3

Most towns were initially established at locations with
 
  (a) an excellent harbor and river stretching into the hinterland.
  (b) an excellent harbor and flat land so roads could be easily built into the hinterlands.
  (c) in mountainous areas which provided better protection against Indians.
  (d) extensive forests to provide fuel and lumber.

Question 4

During the postbellum period of U.S. history,
 
  (a) the U.S. balance of payments experienced a deficit throughout the entire period.
  (b) manufacturing exports became the top foreign exchange earner.
  (c) cotton exports continued to be the top foreign exchange earner.
  (d) the U.S. never borrowed from foreigners.

Question 5

The slowdown in U.S. economic growth in the period 1974-95 was primarily caused by ________.
 
  A) falling labor growth
  B) falling capital growth
  C) falling productivity growth
  D) none of the above

Question 6

Traditional Keynesians tend to favor
 
  a. monetary policy over fiscal policy because of the effectiveness of central banks.
  b. monetary policy over fiscal policy because it reduces interest rates..
  c. fiscal policy over monetary policy because it doesn't impact interest rates.
  d. fiscal policy over monetary policy because of the liquidity trap.
  e. none of the above.

Question 7

World War II (194145) bond sales
 
  (a) were successful and purchased primarily by banks, not private individuals.
  (b) were successful and purchased primarily by private individuals, not banks.
  (c) were successful but eventually led to inflation when bondholders decided to
  cash them in or sell them to the Fed.
  (d) were not successful.

Question 8

Which of the following efficiency wage models centers on the morale of a firm's workers? The
 
  a. shirking model.
  b. gift exchange model.
  c. turnover model.
  d. None of the above

Question 9

Licensing and regulation of business activities by colonial governments
 
  (a) occurred only infrequently.
  (b) was a common practice in early colonial times but the British eventually replaced it with a policy
  of laissez faire before the American Revolution.
  (c) was very common throughout the colonial period just as it is today.
  (d) is basically inconsistent with American concepts of freedom of enterprise and so has never been common practice in either colonial or modern times.

Question 10

According to the Keynesian model, the optimal fiscal policy is to
 
  a. increase cyclical but not structural deficits during a recession.
  b. reduce cyclical and structural deficits during a recession.
  c. increase structural deficits during an recession.
  d. maintain a balanced budget in case of national emergency.

Question 11

Classical economists
 
  a. argued that the money supply determined aggregate demand.
  b. regarded monetary policy as unimportant since the quantity of money does not determine the price level.
  c. believed that the quantity of money influences interest rates and real wages.
  d. believed that prices would increase more than proportionate to an increase in the money supply.