Economic

Select the correct answer

Question 11

Proposals to invest part of the trust fund in private equities raise all but which critique?

1. Large investments in the stock market would give the government shareholder interests and power.
2. The costs of government borrowing may rise if the trust fund decreases its demand for government bonds.
3. Equities are a much riskier security than government bonds.
4. Although the stock market has strong spurts, on average equities have lower returns than government bonds.

Question 12

Which of the following taxes was allowed under the original Constitution?

1- Direct taxes on property

2- Export taxes

3- Import tariffs

4-Income taxes on land owners only

Question 13

The federal income tax began as a result of

1- an act of Congress.

2- an executive order.

3- the bill of rights.

4-a constitutional amendment.

Question 14

The Glass-Steagall Act was created to:

1- commercial banking from investment banking in individual banks, to prevent future bank failures.

2- Require all banks to have large vaults.

3- Allow banks to charge usury interest rates.

4-Make all banks subject to state and federal regulation.

Question 15

Most flat taxes are

1- regressive because they require lower income individuals to us a portion of their income with a higher utility than individuals with higher incomes.

2- revenue neutral compared to other types of taxes.

3- progressive because everyone is simply paying a proportion of their income in direct or indirect taxes.

4-difficult to administer.