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1. What did the Sherman Antitrust Act do? A. It created the Federal Deposit Insurance Corporation. B. It made parks, schools, and police forces mandatory. C. It created the Consumer Product Safety Commission. D. It made monopolies against the law. 2. The main thing the government has done to try to help farmers is to provide money to them in the form of A. storage fees. B. field equities. C. price supports. D. invention subsidies. 3. Some things—like roads, parks, and military forces—are too expensive for private businesses to buy and maintain. When the government supplies them, they’re called A. consumer benefits. B. fringe benefits. C. general welfare. D. public goods. 4. Tariffs, import quotas, and embargoes are ways of A. encouraging more international trade. B. inspecting goods to be exported. C. limiting the goods brought into a country. D. lowering the prices on foreign goods. 5. If the nation of Zambia can produce cotton at a cost lower than any other country, it would have a/an _______ advantage. A. absolute B. commanding C. international D. relative 6. What law provided for a 40-hour work week? A. Fair Labor Standards Act B. Pure Food and Drug Act C. Sherman Antitrust Act D. Consumer Credit Protection 7. Why would the government provide money to people who can’t pay for medical expenses? A. To provide for the national defense B. To be sure consumers are not cheated C. To promote the general welfare D. To create economic growth 8. At which part of the business cycle is business at its best? A. Expansion B. Peak C. Trough D. Recession 9. When a country can produce many things but chooses to produce one main thing, or just a few things, this country is said to be A. short on labor. B. trade weak. C. economical. D. specializing. 10. Increasing unhappiness among some workers, pollution of the environment, and the using up of natural resources are all A. problems that don’t affect the economy. B. costs of economic growth. C. parts of the standard of living. D. disadvantages of a free enterprise system. 11. Most of the tax money spent by the national or federal government is spent on A. the national debt. B. social security-type benefits. C. our armed forces. D. schools. 12. One indicator that helps to tell us when inflation may be coming is the A. Consumer Price Index. B. Equal Opportunity Summary. C. Peak and Trough Report. D. Gross National Product. 13. If the Gross National Product (GNP) goes up, this means A. taxes are much too high. B. many savings bonds have been sold. C. the economy is doing well. D. the government has spent too much money. 14. The difference between the value of a country’s imports and its exports is known as its A. export quota. B. import quota. C. free trade. D. balance of trade. 15. What is one logical outcome of a tax increase? A. Business profits increase. B. Demand for goods increases. C. People buy more. D. Prices stay low. 16. The low point of the business cycle is called a A. trough. B. recession. C. remission. D. peak. 17. A book called The Jungle helped Americans learn about unsafe practices in the A. coal mines. B. meat business. C. drug industry. D. auto industry. 18. The phrase or term that’s used to refer to the number of goods and services available to each person in an economy is A. standard of living. B. equal opportunity. C. factors of production. D. economic growth. 19. Which one of the following is not a main source of tax revenue for the federal government? A. Social security taxes B. Taxes on personal income C. Interest on the national debt D. Taxes on business earnings

1. What did the Sherman Antitrust Act do?
A. It created the Federal Deposit Insurance Corporation.
B. It made parks, schools, and police forces mandatory.
C. It created the Consumer Product Safety Commission.
D. It made monopolies against the law.
2. The main thing the government has done to try to help farmers is to provide money to them in the form
of
A. storage fees.
B. field equities.
C. price supports.
D. invention subsidies.
3. Some things—like roads, parks, and military forces—are too expensive for private businesses to buy and
maintain. When the government supplies them, they’re called
A. consumer benefits.
B. fringe benefits.
C. general welfare.
D. public goods.
4. Tariffs, import quotas, and embargoes are ways of
A. encouraging more international trade.
B. inspecting goods to be exported.
C. limiting the goods brought into a country.
D. lowering the prices on foreign goods.
5. If the nation of Zambia can produce cotton at a cost lower than any other country, it would have a/an
_______ advantage.
A. absolute
B. commanding
C. international
D. relative
6. What law provided for a 40-hour work week?
A. Fair Labor Standards Act
B. Pure Food and Drug Act
C. Sherman Antitrust Act
D. Consumer Credit Protection
7. Why would the government provide money to people who can’t pay for medical expenses?
A. To provide for the national defense
B. To be sure consumers are not cheated
C. To promote the general welfare
D. To create economic growth
8. At which part of the business cycle is business at its best?
A. Expansion
B. Peak
C. Trough
D. Recession
9. When a country can produce many things but chooses to produce one main thing, or just a few things,
this country is said to be
A. short on labor.
B. trade weak.
C. economical.
D. specializing.
10. Increasing unhappiness among some workers, pollution of the environment, and the using up of natural
resources are all
A. problems that don’t affect the economy.
B. costs of economic growth.
C. parts of the standard of living.
D. disadvantages of a free enterprise system.
11. Most of the tax money spent by the national or federal government is spent on
A. the national debt.
B. social security-type benefits.
C. our armed forces.
D. schools.
12. One indicator that helps to tell us when inflation may be coming is the
A. Consumer Price Index.
B. Equal Opportunity Summary.
C. Peak and Trough Report.
D. Gross National Product.
13. If the Gross National Product (GNP) goes up, this means
A. taxes are much too high.
B. many savings bonds have been sold.
C. the economy is doing well.
D. the government has spent too much money.
14. The difference between the value of a country’s imports and its exports is known as its
A. export quota.
B. import quota.
C. free trade.
D. balance of trade.
15. What is one logical outcome of a tax increase?
A. Business profits increase.
B. Demand for goods increases.
C. People buy more.
D. Prices stay low.
16. The low point of the business cycle is called a
A. trough.
B. recession.
C. remission.
D. peak.
17. A book called The Jungle helped Americans learn about unsafe practices in the
A. coal mines.
B. meat business.
C. drug industry.
D. auto industry.
18. The phrase or term that’s used to refer to the number of goods and services available to each person in
an economy is
A. standard of living.
B. equal opportunity.
C. factors of production.
D. economic growth.
19. Which one of the following is not a main source of tax revenue for the federal government?
A. Social security taxes
B. Taxes on personal income
C. Interest on the national debt
D. Taxes on business earnings

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