chapter 8

Public policy is a basic set of goals, plans and actions undertaken by:

A government.

Deregulation is often:

A politically popular idea.

The Mullahs in Iran is an example of the power of government derived from:

A religious authority.

By raising and lowering the interest rates at which private banks borrow money from the government, the Federal Reserve Bank:

Both A and B, but not C.

Deregulation has occurred in the following industries:

Commercial airlines, railroads, and financial institutions.

When a government orders companies not to conduct business in another country because of a war, human rights violations, or lack of a legitimate government; these orders are called:

Economic sanctions.

Which of the following are examples of natural monopolies?

Electric utilities and railroads.

An example of a regulatory agency charged with enforcing social regulation is:

Federal Trade Commission.

Which car company did not seek bailout loans from the U.S. government following the 2009 worldwide economic recession?

Ford

In 2012 the European Union imposed a carbon emissions fee on all airlines flying in and out of EU airspace that:

Generated great opposition from more than two dozen countries.

Governments hold the power to:

Grant or refuse permission for many types of business activity.

Public policy tools involve a combination of:

Incentives and penalties.

Governments being asked to ban the use of cell phones by drivers are examples of a public policy:

Input

Policies that affect the supply, demand, and value of a nation's currency are:

Monetary policies.

An example of an early economic public policy was:

Public works projects of the Great Depression.

Total social regulation costs are:

Significantly higher than total economic regulation costs.

Public policy effects are:

Sometimes intended and sometimes unintended.

Cooperation between business and government often occurs when:

They encounter a common problem or enemy.

Regulation can be argued as justified based on:

Utilitarian and justice grounds.

Managers' understanding of government regulations is:

Both a domestic and international issue.

Government's role is to create and enforce laws that:

Balance the relationship between business and society.

Past decisions of the courts, the original basis for the U.S. legal system, are called:

Common laws.

Economic regulations:

Cut across industry lines.

Economic policies include:

Fiscal and monetary policies.

Patterns of government taxing and spending that are intended to stimulate or support the economy are:

Fiscal policies.

Studies show that texting while driving is:

More dangerous than talking on the phone while driving.

Which of the following is not an example of a social regulatory agency?

National Labor Relations Board.

The primary way of accomplishing public policy is through:

Regulation.

Around the world, government:

Sometimes cooperates and sometimes is in conflict with business.

Reregulation is:

The increase or expansion of government regulation.