2015-16 Civics Final Exam Study Guide Coach Lott

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The constitutional guarantee of freedom of speech is important for a democratic society becauseit

Aprotects the rights of political leaders.
Bsupports a two-party political system.
Cguarantees the rule of the majority.
Denables people to challenge authority.

2. Use this excerpt from the U.S. Constitution to answer the question.
style
The phrase in the Preamble that states “insure domestic tranquility” mostlikely refersto

Athe welfare of children.
Bthe possibility of invasion.
Cthe rights of citizens.
Dthe prevention of rebellion.

3.Which aspect of the American government system was influenced by the Magna Carta?

Abicameral legislature
Bdemocratic elections
Climited authority
Dexecutive vetoes

4.Which idea expressed in the U.S. Constitution was influenced by the Declaration of Independence?

AThe power of government comes from the people.
BThe judicial branch is the final legal authority.
CThe people participate in judicial decisions.
DThe power to pass laws is shared by two houses.

5.Which responsibility is the primary function of the legislative branch of the federal government?

Amaking laws
Bnegotiating treaties
Cinterpreting laws
Denforcing treaties

6.The U.S. government’s system of checks and balances was createdto

Aensure that church and state remain separate entities.
Bkeep political power in the hands of the voters.
Cprevent each branch from abusing its power.
Ddistribute power evenly on a territorial basis.

7.Use the passage to answer the question.
style
The passage was part of the Supreme Court’s opinion in the 1971case New York Times v. UnitedStates, regarding the right of a newspaper to publish a government document known as the Pentagon Papers. What is the main idea in the passage?

AThe operation of the news media is the responsibility of the public.
BThe role of the press has evolved since the ratification of the Constitution.
CThe government and the press are natural enemies.
DThe media should be free to criticize the actions of political leaders.
8.Which statement explains why separation of powers is a significant principle of American constitutional government?
ASeparation of powers distributes authority at different levels of government.
BSeparation of powers prevents the abuse of authority by any branch of government.
CSeparation of powers allows the people to remove corrupt leaders from office.
DSeparation of powers lays the groundwork for a representative democracy.

9.In recent years, the United States and the People’s Republic of China have become important trade partners. The improved relationship is most likely based ona

Astrong friendship between leaders.
Bfascination with distant cultures.
Cmutually beneficial business relationship.
Dshared set of political beliefs.
10.Sanctions are punitive actions imposed on a nation with the aim of making its government change policies or behaviors. Under which circumstances is the UnitedStates most likely to place sanctions on another country?
AThat country violates internationallaw.
BThat country refuses to trade with the UnitedStates.
CThat country refuses membership in the UnitedNations.
DThat country fails to address its economic problems.
11.Which characteristic of the UnitedStates government assures that power is not concentrated in one branch of the federal government?
Asharing power between the president and vice president
Bestablishing longer term lengths for elected officials
Cincluding a strong chief executive in each branch
Dproviding a system of checks and balances among the branches

12.Which kind of tax is not a source of revenue for state or local governments?

Apoll taxes
Bincome taxes
Cestate taxes
Dproperty taxes
13.The Federal Reserve System affects the rest of the U.S. banking system by
Aenforcing laws against insider trading.
Blending financial resources to banks.
Cinsuring deposits in bank accounts.
Dbuying bad assets from banks.
14.One way to simultaneously act on personal beliefs and satisfy a civic responsibility isto
Aexercise the right to vote.
Bwrite a letter to a friend.
Cserve on a jury.
Dobey the rules of the community.

15.What is the main purpose of the party system in American politics?

Aorganizing the voting process in the Electoral College
Ballowing groups of people with similar goals to unite
Cenabling the government to track the preferences of citizens
Dsimplifying the process of putting candidates on the ballot

16.Mark is going to purchase a new car. He must choose between a two-door sports car and a less expensive, four-door family car. What is the opportunity cost to Mark of choosing the family car?

Asaving money
Bthe fun of driving a sportscar
Cthe ability to carry more passengers
Dhaving less room

17.Which statement best indicates how the productivity of a nation’s workforce affects the standard of living in that nation?

AProductivity encourages specialization, which reduces average income levels.
BWhen productivity increases, the price of crude oil decreases.
CAs productivity improves through technology, individual salariesrise.
DWhen productivity increases, the standard of living increases.

18.According to the principle of demand, price and quantity demanded are

Alocked in an ongoing competition.
Bcompletely independent of eachother.
Cusually rising or falling together.
Dinversely related to eachother.

19.Which statement is true about land as a factor of production?

ALand typically includes all natural resources.
BLand steadily declines in value overtime.
CLand is the product of labor.
DLand creates financial capital to strengthen the economy.

20.What is one defining characteristic of a command economy?

ACompanies are privately owned.
BGovernments make production decisions.
CThere is ongoing competition among producers.
DThere is heavy reliance on entrepreneurship.

21.During an economic recession, rising unemployment generally leads to

Areduced demand for goods.
Breduced inventories of goods.
Chigher prices for goods.
Dhigher taxes on goods.
22.Historically, China has been a government-controlled society. In recent decades, China has experienced much change as its government gradually allows more private control of business and industry. In fact, China’s gross domestic product (GDP) has grown from the eleventh largest in the world in 1990 to the second largest in the world in 2012.
One significant reason for the growth of China’s GDPis
Adisappearance of private firms.
Badoption of market institutions.
Ccreation of trade barriers.
Dgrowth of government regulation.

23.Use the chart to answer the question.
style
The point at which the supply and demand curves for a given product intersect representsthe

Ainput price.
Butility price.
Cmarginal price.
Dequilibrium price.

24.An employer needs to hire a computer technician. Which qualifications would be best to include in an advertisement for thejob?

Aability to sell products
Bknowledge of advanced technology
Cexperience with the auditing process
Dphysical strength

25.Alex needs to calculate the amount of money he expects to earn in the coming month. He also needs to identify all of his expenses for the month to determine the amount of money left over. What should Alex create to evaluate his finances?

Aa budget
Ba mortgage
Ca portfolio
Da ledger

26. This is NOT an example of a congressional enumerated power.

to issue search warrants / to establish post offices
to declare war / to coin money

27. Choose the answer that best defines the type of agreement illustrated in the graphic organizer.

treaty / foreign policy
international agreement / executive agreement

28. The Founders created a Constitution that could be adapted for the future through

prior restraint. / Constitutional ratification.
Constitutional amendment. / judicial restraint.

“To believe that patriotism will not flourish if patriotic ceremonies are voluntary and spontaneous instead of a compulsory routine is to make an unflattering estimate of the appeal of our institutions to free minds.”

—Justice Robert Jackson, 1943

29. The Supreme Court’s ruling in West Virginia State Board of Education v. Barnetteprotected a student’s right to do all of the following EXCEPT:

refuse to salute the flag
sing the Star Spangled Banner
refuse to recite the Pledge of Allegiance
lead a Bible study during school hours

30. Identify which of its powers the national government uses to carry out the actions listed in the graphic organizer:

expressed / inherent
implied / enumerated

31. The Constitution gives the government three types of power. What is the name for these powers?

Concurrent / Delegated
Supreme / National

32. Matters requiring the action of both the House and Senate, but on which a law is not needed are called

concurrent resolutions. / resolutions.
joint resolutions. / hearings.

33. This is not a current foreign policy concern.

increased economic competition / the Cold War
international terrorism / increased trade competition

“I deny that any legislative body or judicial tribunal may have regard to the race of citizens when the civil rights of those citizens are involved. . . . Our Constitution is color-blind, and neither knows nor tolerates classes among citizens. In respect to civil rights, all citizens are equal before the law.”

— Justice John Marshall Harlan, 1896

34. What U.S. Supreme Court decision upholding the Jim Crow laws was dissented by Justice John Marshall Harlan in 1896?

Plessyv. Ferguson
Washington v. Davis
Wisconsin v. Mitchell
Brown v. Board of Education of Topeka

35. Under the Constitution, the national government is obligated to provide states with three things. Choose the answer that best completes the chart.

denied powers / funds to administer elections
surveillance / protection

36. The national government's control of immigration is an example of

concurrent powers. / inherent powers.
delegated powers. / expressed powers.

37. Supervisor of the diplomatic activities of the United States is the

secretary of defense. / consul of the United States.
secretary of state. / ambassador of the United States.

38. How many years passed between the creation of the Veterans Affairs Department and the Department of Homeland Security?

5 / 9
7 / 13

39. Which cabinet department was originally a bureau within the Department of Commerce?

Labor Department / Education Department
State Department / Agriculture Department

“The proposed Constitution, so far from implying an abolition of the State governments, makes them constituent parts of the national sovereignty, by allowing them a direct representation in the Senate, and leaves in their possession certain exclusive and very important portions of sovereign power. This fully corresponds . . . with the idea of a federal government.”

—Alexander Hamilton, 1787

40. What concept was Hamilton defining?

democracy / socialism
nationalism / federalism

41. Which symbol is used to represent the colonists in this cartoon?

man in background / rider
bucking horse / whip

42. Which symbol represents King George III in this cartoon?

whip / man in background
horse / rider

43. The U.S. Constitution is divided into three parts. Choose the answer that best completes the chart, identifying the three parts.

Bill of Rights / Essays
Articles / Sections

44. Any system of government in which rule is by the people is called

an autocracy. / a monarchy.
a democracy. / an oligarchy.

45. This system divides the power between the state and national governments.

socialist / communist
unitary / federal

46. Which principle of the Constitution is featured in the cartoon?

popular sovereignty / checks and balances
judicial review / limited government

47. This prohibits government from unduly interfering with the freedom of religion.

precedent clause / establishment clause
sedition clause / free exercise clause

48. If you think Congress had the power to charter the Second Bank of the United States, you believe in

loose construction. / strict construction.
impoundment. / impeachment.

49. America's first formal constitution was the

Northwest Ordinance. / Fundamental Orders of Connecticut.
Bill of Rights. / Articles of Confederation.

50. Article IV of the U.S. Constitution requires the states to grant privileges and immunity to nonresidents. Choose the answer that best completes the chart.

voting / use of public facilities
buy, sell, and hold property / serving on juries

51. Which letter on the graph represents a trough in the business cycle?

Z / W
X / Y

52. Which letter on the graph represents a recession in the business cycle?

Y / X
W / Z

53. What is the largest source of income for banks?

fees charged to customers for accounts
the interest they receive from loans
special accounts such as NOW accounts
money deposited in savings accounts

54. What does it mean when the demand for a product is inelastic?

A price increase does not have a significant impact on buying habits.
People will not buy any of the product when the price goes up.
There are very few satisfactory substitutes for the product.
Customers are sensitive to the price of the product.

55. An example of expansionary fiscal policy would be

cutting prices of consumer goods.
cutting production of consumer goods.
cutting taxes.
cutting government spending.

56. An accurate statement about the Great Depression would be that

it ended largely because of an increase in defense spending related to World War II.
while its effects were severe among the lowest income levels, it had little impact on the wealthy.
it was caused primarily by overspending on government programs.
it was a normal part of the business cycle.

57. What is the opportunity cost of a decision?

the most desirable alternative given up for the decision
the best possible way the question could have been decided
the different ways that a different person might have made the decision
the series of alternative decisions that could have been made

58. The Great Crash can be attributed to all of the following reasons EXCEPT

many people had gone into debt buying consumer items on credit.
a relatively few companies and families held much of the nation’s wealth.
the small number of people buying stock on margin.
the practice of making high-risk investments with borrowed money.

59. Which of the following is NOT a form of non-price competition?

advertising / physical characteristics
discounts / location

60. A monopolist will set its production at a level where marginal cost is equal to

marginal revenue. / total revenue.
quantity supplied. / the equilibrium market price.

61. How is nominal GDP converted into real GDP?

through eliminating the effects of price increases on GDP growth
by adding all incomes earned in an economy to total expenditures by consumers, businesses, and government
by adding up all of the real purchases made in the economy
by adding the contributions of American-owned factories in foreign countries

62. What is a fringe benefit?

an accounting term meaning profits
a business other than sales or marketing
a payment other than wages or salaries
a cash payment for casual work

63. What is the role of the Federal Open Market Committee?

It makes key decisions about interest rates and the growth of the United States money supply.
Composed of seven members appointed by the President, it oversees the Federal Reserve System.
It redraws the map of the twelve Federal Reserve Districts every ten years in response to economic changes.
It collects information about each Federal Reserve District and reports on economic conditions to the Board of Governors.

64. What is the struggle among various producers for the consumer’s business called?

self-regulation / socialism
competition / incentive

65. What is the purpose of the Federal Deposit Insurance Corporation (FDIC)?

to make sure that banks do not fail
to make sure that customers do not lose money if a bank fails
to make sure that banks charge a fair amount of interest on loans
to make sure that the government has enough gold to cover its expenses

66. According to this supply curve, if the price of movie videos decreases from $18 to $16, the quantity supplied will

rise from 800 to 1000. / fall from 800 to 600.
rise from 600 to 800. / fall from 1000 to 800.

67. According to this supply curve, 400 movie videos will be supplied at what price?

$16 / $10
$14 / $12

68. What does a production possibilities frontier show?

the maximum amount that an economy can produce
scarce and less scarce resources
global trade-offs and costs of doing business
an economy that is producing but not at the maximum

69. The calculation of GDP would include

the income of a high school English teacher.
the price of the steel used to build a new hotel.
the sale of a 25-year-old house.
the income of a person who pays rent by babysitting for the homeowner’s children.

70.The most-used instrument for controlling week-to-week changes in the money supply is

the required reserve ratio. / open market operations.
the money multiplier. / the discount rate.

71. What do taxes collected under the Federal Insurance Contribution Act (FICA) fund?

Social Security and Medicare
Social Security and Medicaid
Medicare and Medicaid
Medicaid and Supplemental Security Income

72. Why are all goods and services scarce?

All resources are scarce.
Some people want to have more goods than others.
Some things are needs and others are wants.
Some goods cost more than others.

73. Suppose the exchange rate between the United States and Japan changes from $1 = 100 yen to $1 = 110 yen. What would happen to the prices of American goods in Japan?

They could increase or decrease.
They will increase.
They will remain the same.
They will decrease.

74. The “market basket” that is used by the Bureau of Labor Statistics to calculate prices is made up of which of the following?

food items only
typical goods and services for an urban household
nonfood items only
food and necessary services for any family

75. The equilibrium wage for doctors is high because the

demand for doctors tends to be lower relative to supply.
supply of doctors is relatively low and the demand is relatively high.
demand for doctors equals the supply.
supply of doctors is relatively high and the demand is relatively low.

76. If the supply of a good is inelastic,

a small increase in price will lead producers to sharply increase their quantity supplied.
producers will increase their quantity supplied in response to sharp drops in the market price.
producers will not change their quantity supplied by much if the market price doubles.
producers have diminishing marginal returns of labor.

77. Which of the following is an example of money as a unit of account?