PLS 101 Final Exam Study Questions and Answers Top Graded
1 view 0 purchase
Course
PLS 101
Institution
PLS 101
What is the fundamental debate regarding economic policy? -Correct Answer Revolves around government involvement
What does the Laissez-Faire philosophy entail? -Correct Answer Private firms should be free to make their own production and distribution decisions, government has minimal control
...
PLS 101 Final Exam Study Questions
and Answers Top Graded 2024-2025
What is the fundamental debate regarding economic policy? -Correct Answer
✔Revolves around government involvement
What does the Laissez-Faire philosophy entail? -Correct Answer ✔Private firms should
be free to make their own production and distribution decisions, government has
minimal control
What does the Socialism philosophy entail? -Correct Answer ✔Government takes total
control of what the private sector once was in charge of
The government is described as a mixed economy. What is this? -Correct Answer ✔The
economy operates mainly through private transactions, government plays a substantial
role
What are the two major types of government regulation of the economy? -Correct
Answer ✔Promoting competition and protection
What does the promoting competition government regulation policy entail? -Correct
Answer ✔Promotes by busting trusts (which reduces monopolizing powers a.k.a. allows
more than one supplier of the same product) and placing the power of the economy in
the consumer's hands
What does the promoting protection government regulation policy entail? -Correct
Answer ✔Uses methods such as subsidy programs, tariffs and set interest rates to also
help stimulate the economy and keep US business successful while stifling foreign
trade, enforces acts such as The Fair Labor Standards Act which requires employers to
pay workers a minimum wage and place limits on the use of child labor
What is promotion? -Correct Answer ✔The government takes steps to help domestic
firms by offering them subsidies and implementing tariffs on foreign trade
What are the major types of promotional policies? -Correct Answer ✔Subsidies and
Trade barriers
What are subsidies? -Correct Answer ✔a sum of money granted by the government or a
public body to assist an industry or business so that the price of commodity (raw
material or agricultural product) or service may remain low or competitive (often given to
farmers)
PLS 101 Final Exam
, PLS 101 Final Exam
What are tariffs? -Correct Answer ✔Taxes or duties paid on a class of imports or
exports
What are trade barriers? -Correct Answer ✔any regulation or policy that restricts
international trade (such as tariffs)
What is the basic tradeoff the US government faces in managing the economy? -
Correct Answer ✔The more regulation and resources it pours into the economy, the less
the economy can function on its own, which ensues an increased risk of a large national
debt
What are the major policy tools the US government can use to to manage the
economy? -Correct Answer ✔Fiscal and monetary policies
What is a fiscal policy? -Correct Answer ✔a tool of economic management by which
government can attempt to maintain a stable economy through its taxing and spending
policies
What is a monetary policy? -Correct Answer ✔a tool of economic management based
on manipulation of the amount of money in circulation
When the economy is in a recession, what can government do to get out of it? -Correct
Answer ✔lower interest rates, increase spending and decrease taxation
When did the first wave of economic regulation occur and what issues did it address? -
Correct Answer ✔the Progressive Era in the late 1800's, reformers sought to stop unfair
business practices of newly founded monopolies
When did the second wave of economic regulation occur and what issues did it
address? -Correct Answer ✔the Great Depression, when reformers sought to regulate
troubled economic sectors, such as the banking sector
When did the third and final wave of economic regulation occur and what issues did it
address? -Correct Answer ✔during the 60's, reformers addressed environmental
protection, consumer protection and worker safety.
How did the older wave of environmental policy differ from the newer one? -Correct
Answer ✔the older one focused more on the preservation of the physical land that the
US occupied (i.e. national parks), newer one focuses more on the harmful effects of air,
water and ground pollutants
How does the US compare to most other Western countries in terms of reducing
greenhouse gas emissions? -Correct Answer ✔the US has plenty of ground to make up
in relation to other developed countries in terms of tons of CO2 per capita annually. The
US far out-paces every other country.
PLS 101 Final Exam
The benefits of buying summaries with Stuvia:
Guaranteed quality through customer reviews
Stuvia customers have reviewed more than 700,000 summaries. This how you know that you are buying the best documents.
Quick and easy check-out
You can quickly pay through credit card or Stuvia-credit for the summaries. There is no membership needed.
Focus on what matters
Your fellow students write the study notes themselves, which is why the documents are always reliable and up-to-date. This ensures you quickly get to the core!
Frequently asked questions
What do I get when I buy this document?
You get a PDF, available immediately after your purchase. The purchased document is accessible anytime, anywhere and indefinitely through your profile.
Satisfaction guarantee: how does it work?
Our satisfaction guarantee ensures that you always find a study document that suits you well. You fill out a form, and our customer service team takes care of the rest.
Who am I buying these notes from?
Stuvia is a marketplace, so you are not buying this document from us, but from seller PossibleA. Stuvia facilitates payment to the seller.
Will I be stuck with a subscription?
No, you only buy these notes for $13.99. You're not tied to anything after your purchase.
