American Political Ideologies 4: Ideology and Policy

Question 1

Agenda

Answer 1

a list of potential policy ideas, bills, or plans to improve society

Question 2

Bonds

Answer 2

certificates of debt that carry a promise to buy back the bonds at a higher price

Question 3

discount rate

Answer 3

the minimum interest rate set by the Federal Reserve for lending to other banks

Question 4

entitlements

Answer 4

Policies for which Congress ha obligated itself to pay X level of benefits to Y number of recipients. Social Security benefits are an example

Question 5

Federal Reserve Board (The FED)

Answer 5

A 7-member board that sets member banks reserve requirements, controls the discount rate, and makes other economic decisions

Question 6

Fiscal Policy

Answer 6

Government policy that attempts to manage the economy by controlling taxing and spending

Question 7

Flat tax

Answer 7

proportional tax on individual income after a specified threshold has been reached

Question 8

Gloablization

Answer 8

the process by which business or other organizations develop international influence or start operating on an international scale

Question 9

Inflation

Answer 9

A general and progressive increase in prices

Question 10

Internal Revenue Service (IRS)

Answer 10

The branch of the US Treasury Department in charge of collecting taxes

Question 11

Mandatory Spending

Answer 11

Federal spending required by law that continues without the need for annual approvals by Congress

Question 12

Means Test

Answer 12

A federal and state assistance program that pays for health care services for people who cannot afford them

Question 13

Medicaid

Answer 13

A federal and state assistance program that pays for health care services for people who cannot afford them

Question 14

Medicare

Answer 14

a federal program of health insurance for persons 65+ of age

Question 15

monetary policy

Answer 15

Gov. policy that attempts to manage the economy by controlling the money supply and thus interest rates

Question 16

North American Free Trade Agreement (NAFTA)

Answer 16

Agreement that created a free-trade area among the US, Canada, and Mexico

Question 17

Patient Protection and Affordable Care Act (PPACA)

Answer 17

2010 fed. legislation designed for comprehensive health reform, with and intent to expand coverage, control health care costs, and improve the health care delivery system

Question 18

Progressive Tax

Answer 18

A tax for which the percentage of income paid in taxes increases as income increases

Question 19

Reserve requirement

Answer 19

This is the percentage of their deposits that member banks must keep available in a Federal Reserve Bank

Question 20

Sixteenth Amendment

Answer 20

The constitutional amendment adopted in 1913 that explicitly permitted Congress to levy an income tax

Question 21

Social Security Act of 1935

Answer 21

Created both the Social Security Program and a national assistance program for poor children, usually called AFDC

Question 22

Social Welfare

Answer 22

A nation’s system of programs, benefits, and services that help people meet those social, economic, educational, and health needs that are fundamental to the maintenance of society

Question 23

supply-side economics

Answer 23

an economic philosophy that holds the sharply cutting taxes will increase the incentive people have to work, save, and invest. Greater investments will lead to more jobs, a more productive economy, and more tax revenues for the gov.

Question 24

Trade balance

Answer 24

the value of a nation’s exports minus the value of its imports; also called net exports