United States Government: Democracy in Action

Chapter 20: Taxing and Spending

Self-Check Quizzes

1
Where does the government get its power to tax?
A)from the Department of the Treasury
B)from the Bill of Rights
C)from the Constitution
D)from state governments
2
Which is the federal government's biggest source of revenue?
A)individual income tax
B)corporate income tax
C)social insurance taxes
D)excise taxes
3
How does the government receive most individual income taxes?
A)quarterly estimated payments
B)employer withholding
C)one payment on April 15
D)biannual estimated payments
4
Which type of tax is the federal income tax?
A)provincial
B)progressive
C)regressive
D)proportional
5
Which of the following is NOT a social insurance tax?
A)Medicare
B)Social Security
C)unemployment compensation
D)customs duty
6
How does the government borrow money?
A)It sells federal securities.
B)It buys federal securities.
C)It taxes federal securities.
D)It withholds income.
7
The federal budget is prepared by the _____.
A)Congressional Budget Office
B)Council of Economic Advisers
C)Department of the Treasury
D)Office of Management and Budget
8
Which of the following budget items can be controlled?
A)national defense
B)entitlements
C)interest on the national debt
D)Social Security
9
Which of these is a tool of fiscal policy?
A)raising the reserve requirement
B)increasing government spending on public goods
C)lowering the discount rate
D)selling government securities
10
Which of these characteristics of the Federal Reserve System is FALSE?
A)The Fed is independent of Congress.
B)The Fed is a banker's bank.
C)The Fed adjusts the supply of money in the economy.
D)The Fed raises or lowers taxes through monetary policy.
Glencoe Online Learning CenterSocial Studies HomeProduct InfoSite MapContact Us

The McGraw-Hill CompaniesGlencoe

Please read our Terms of Use and Privacy Notice before you explore our Web site. To report a technical problem with this Web site, please contact the Web Producer.