Mariah Head
S.I. Leader
PSCI 1050.002 mariahhead@my.unt.edu Exam 3 Review
This review is not all-inclusive. In addition to studying the material on this review, you should study your lecture notes, the textbook and the LearnSmart Activities.

1. Income tax is an example of which type of tax? a. Progressive b. Regressive
2. The principle of ___________ was the policy of making a military, political and ideological commitment to vulnerable countries in order to prevent the spread of communism. a. Containment b. Deterrence c. Marshall Plan d. War Powers Act
3. The theories of which economist helped justify the increase in government spending during the New Deal? a. Ben Bernanke b. Alan Greenspan c. Adam Smith d. John Maynard Keynes
4. Which of the following entities prepares the budget for Congress? a. Appropriations Committee b. Department of Monetary Management c. Congressional Budget Office d. Budget Committee

5. The conduct of international relations is known as a. Coercion b. Threats c. Subterfuge d. Diplomacy
6. When the government spends more than it makes in a fiscal year, it’s called: a. Deficit b. National Debt c. Surplus d. Balanced budget
7. The expenditures that the government is legally required to pay are called: a. Deficit spending b. Mandatory spending c. Discretionary Spending d. Required spending
8. Governors on the Federal Reserve serve a ___ year term. a. 2 b. 6 c. 10 d. 14
9. The first step of the policy making process is: a. Agenda setting b. Policy Outputs c. Policy Outcomes d. Policy Objectives
10. Which of the following is not a function of the Federal Reserve? a. Make loans to banks b. Regulate banks c. Set tax rates d. Set interest rates
11. The policy that uses taxing and