View a FREE sample

This test consists of 15 multiple choice questions and 5 short answer questions.

Multiple Choice Questions

1. For Friedman, what is an all-embracing ethic?
(a) Education.
(b) Freedom.
(c) Religion.
(d) Government.

2. Friedman states that government should be ______.
(a) Consolidated.
(b) Decentralized.
(c) Streamlined.
(d) Incorporated.

3. Friedman asserts that current liberalism is tied to the state management of ______.
(a) The economy.
(b) The electoral vote.
(c) Social welfare.
(d) The educational system.

4. Friedman defines a country as a collection of ______.
(a) Individuals.
(b) Leaders.
(c) Ideals.
(d) Citizens.

5. According to Friedman, what is liberty's greatest enemy?
(a) The educational system.
(b) The Federal government.
(c) Concentration of power.
(d) Elected leaders.

6. What is the term for currency not being traded for any amount of another currency?
(a) None of the answers is correct.
(b) Irreversible.
(c) Inconvertible.
(d) Unconvertible.

7. One argument for government spending that Friedman refutes is that it will reduce what?
(a) Unemployment.
(b) Crime.
(c) Competition.
(d) Fraud.

8. What does Friedman use as an example of a use of government where individuals cannot consume individual amounts?
(a) Education.
(b) National defense.
(c) Postal service.
(d) Healthcare.

9. What does Friedman believe is one drawback of the Federal Reserve having so much power?
(a) The Federal Reserve chairperson is elected and therefore subject to the whims of the public.
(b) When the Federal Reserve makes mistakes, the whole country suffers.
(c) When the Federal Reserve does well, only a few profit.
(d) The Federal Reserve has rules that are too strict to follow in order to make any real change.

10. Friedman believes that free markets are not sufficient for political freedom since many countries demonstrate the possibility of ______.
(a) Dictatorial government.
(b) Economic freedom.
(c) Authoritarian capitalism.
(d) Laissez-faire markets.

11. What does Friedman believe will markets do over time to monopolies?
(a) Strengthen them.
(b) Make them obsolete.
(c) Break them up.
(d) Separate them slowly.

12. According to Friedman, what is one problem with government stimulus during a recession?
(a) The stimulus is generally too small to jump-start the economy.
(b) The measures do not take effect until after the recession.
(c) More often than not, inflation skyrockets.
(d) The attempts often have a negative effect.

13. Friedman advocates the end of ______.
(a) Capitalism.
(b) The free market.
(c) Export quotas.
(d) Exchange rates.

14. Friedman asserts that the Federal Reserve created the major contractions of the following years except______.
(a) 1920-21.
(b) 1926-27.
(c) 1929-33.
(d) 1937-38.

15. How are decisions, for Friedman, made where unanimity is a costly way of making decisions?
(a) Decisions by committee.
(b) Majority rule.
(c) Executive decision.
(d) A system of checks and balances.

Short Answer Questions

1. Friedman believes that one governmental action that is justifiable is to set a ______ education level.

2. In Friedman's opinion, what should individuals be allowed to do?

3. Friedman points out one idea that is often forgotten is that political and economic institutions have been ______.

4. One role of government argued by the New Deal was to ______.

5. According to Friedman, what cannot exist without a literate and informed population?

(see the answer keys)

This section contains 479 words (approx. 2 pages at 300 words per page) View a FREE sample