21 - How Government Affects the Economy

What is one purpose of government regulation according to the text?

• To increase market competition

• To correct for market failure

• To reduce government spending

• To eliminate taxes

What are the two main toolkits the US government uses to manage the economy?

• Fiscal policy and trade policy

• Monetary policy and trade policy

• Fiscal policy and monetary policy

• Trade policy and taxation

Who primarily controls fiscal policy in the US?

• The President

• Congress

• The Federal Reserve

• The Supreme Court

Which of the following is NOT a category of mandatory spending?

• Social Security

• Medicare

• Medicaid

• Veterans' benefits

As of 2020, how much debt is held by the public in the United States?

• $6 trillion

• $17 trillion

• $21 trillion

• $23 trillion