American Gov UNIT 5

British economist _____ believed the best way to avoid or lessen the impact of a recession is to increase government spending in order to stimulate the economy.

John Maynard Keynes

minimal government involvement in the economy

Laissez-faire

a tool used by governors to reject portions of a bill

line-item veto

______ governments get most of their revenue from property and sales tax.

local

occurs when planned action by a state is thwarted by the government taking action first

preemption

A _____ tax rate is determined by one's ability to pay.

progressive

gives power to the states

reserved powers

what the Federal Reserve charges member banks to borrow money

discount rate

A(n) _______ is a way citizens may bypass their legislature in order to get an amendment on the ballot.

initiative

______ was the foreign policy of the United States from its founding until the mid-20th century.

isolationism

What did the Gibbons v. Ogden Supreme Court ruling clarify?

Congress, not the states, has control over interstate trade.

The ______ was a U.S. foreign policy that helped prevent encroachment of communism by rebuilding Europe after World War II.

Marshall Plan

The foreign policy of the _____ stood against European involvement in countries in South and Central America.

Monroe Doctrine

The U.S. foreign policy of the _____ was formed with the intent of containing the spread of communism.

Truman Doctrine

The ______ provides foreign ministers to other countries and protects Americans overseas.

U.S. state department

What can the Federal Reserve do to stimulate the economy and encourage borrowing?

decrease the discount rate

promote competition by making monopolies illegal

antitrust laws

Property ownership and the right to take a risk in hopes of earning a profit are part of the system of _______.

capitalism

The ______ blends executive and legislative power into one body.

city-commission form of government

The ruling party controls all factors of production and redistributes all produced services and goods under _______.

communism

shares power between national and state governments

concurrent powers

foreign policy emphasizing building friendly relationships with other nations

détente

the government's use of spending and taxing to regulate economic activity

fiscal policy

U.S. _______ policy goals include providing aid, supporting democracy, and promoting world peace.

foreign

measures a country's production and standard of living

gross domestic product

The ______ program providing healthcare for impoverished children and adults is funded and administered by states.

medicaid

The federal government provides medical care benefits to senior adults through the _______ program.

medicare

The Federal Reserve implements a(n) ______ to control the flow of money in the U.S. economy.

monetary policy

the process of a government takeover of a private industry for public use

nationalization

Lawmakers who want to please their constituents add ______ project spending to appropriation bills.

pork-barrel

grants Congress the authority to exercise implied powers even if it limits the powers of states

the necessary and proper clause

proclaims that state laws are subordinate to the U.S. Constitution

the supremacy clause

Local governments only have the powers granted to them by the state in a(n) _______ form of government.

unitary