Unit 2 Test Study Guide

How might the power balance shift in a government if citizens gained the ability to vote directly for the head of state in a presidential system?

• The citizens would have greater influence over national decisions, as they would directly choose the leader.
• The legislature would retain full control over the election process, limiting citizen involvement.
• The judiciary would gain more influence, taking over the selection of the head of state.
• Military leaders would gain control of the election process, reducing the power of the people.

Answer explanation

Think about how direct elections can change the dynamics of power between the government branches.

If Saudi Arabia reduced its dependence on oil by focusing on developing other industries, what would be the likely impact on its economy?

• The country would experience more stable economic growth and reduced vulnerability to oil market fluctuations.
• The economy would shrink significantly as oil production halts, causing a nationwide financial crisis.
• The focus on other industries would result in lower international trade and decreased revenue from exports.
• The economy would remain largely unchanged, as oil is the only sector that can sustain long-term growth.

Answer explanation

Consider the benefits of economic diversification and how it can affect stability.

What role does religion play in shaping the government of Saudi Arabia compared to Turkey?

• Saudi Arabia’s legal system is largely based on religious law, while Turkey’s government keeps religion separate from politics.
• Both Saudi Arabia and Turkey base all their laws on religious teachings, with no separation of religion and government.
• Religion has no influence on the laws in either country, as both governments operate independently from religious institutions.
• Turkey’s legal system is guided by religious laws, while Saudi Arabia enforces a strict separation between religion and politics.

Answer explanation

Think about the historical and cultural differences between the two countries.

How do tariffs impact international trade and domestic businesses?

• Tariffs protect domestic industries by raising the price of imports, but they can also strain relationships with foreign trade partners.
• Tariffs encourage international trade by making foreign goods cheaper, thus increasing competition in the domestic market.
• Tariffs eliminate the need for domestic production by allowing foreign goods to dominate the local market.
• Tariffs lower the cost of imports, promoting greater trade between countries and reducing domestic business costs.

Answer explanation

Consider the purpose of tariffs and their effects on both domestic and international markets.

Why might a government in a mixed economy encourage private investment in industries like healthcare and technology?

• Encouraging private investment can drive innovation and growth in key sectors, helping to diversify the economy.
• Private investment allows the government to reduce its involvement in these sectors, which can lead to instability.
• The government can retain full control of these sectors, limiting the potential for private businesses to influence policy.
• Private investment will likely lead to monopolies, reducing the availability of services to the general population.

Answer explanation

Think about the benefits of private investment in terms of innovation and economic growth.

How do citizens in a parliamentary democracy, such as Israel, participate differently in government compared to citizens in an absolute monarchy like Saudi Arabia?

• In Israel, citizens vote for the legislature, which then selects the head of government, whereas in Saudi Arabia, citizens do not participate in selecting leaders.
• Both Israeli and Saudi citizens vote directly for the head of state, but only in Israel do they elect members of the legislature.
• In Saudi Arabia, citizens can vote for local officials, but in Israel, voting is limited to parliamentary elections.
• In both countries, citizens participate in electing their leaders, but the legislative power is stronger in Israel than in Saudi Arabia.

Answer explanation

Consider the differences in political systems and citizen participation in each country.

Why would a country impose quotas on certain goods it imports?

• To protect local industries by restricting the number of foreign goods in the market and reducing foreign competition.
• To increase the flow of imports into the country, encouraging foreign companies to invest in local industries.
• To promote international trade by allowing unrestricted access to foreign goods in domestic markets.
• To reduce government revenue by removing taxes on goods that exceed the quota limit.

Answer explanation

Think about the reasons behind imposing quotas and their impact on local industries.

What would be the likely effect of Saudi Arabia moving from a monarchy to a fully democratic government?

• The monarchy would become a ceremonial figure, and elected representatives would assume full control of the government.
• Citizens would lose their ability to participate in government decisions, as the king would retain full control.
• Military leaders would take over the government, and the monarchy would be abolished entirely.
• The legislature would lose its power, and the monarchy would gain more control over decision-making processes.

Answer explanation

Consider the changes in political structure and citizen participation in a democratic transition.

How might a command economy limit innovation compared to a mixed-market economy?

• In a command economy, the government controls production, which stifles innovation by limiting competition and private sector involvement.
• Command economies foster innovation by allowing private businesses to compete freely without government regulation.
• Mixed-market economies are less innovative because the government has full control over production decisions.
• In a command economy, private businesses have the freedom to innovate, but government interference often limits their success.

Answer explanation

Think about the role of government control in economic systems and its impact on innovation.

How could an embargo impact a country’s economy if it relies heavily on a single export, like oil?

• The country may struggle to find new markets for its goods, leading to economic decline if it cannot export its primary resource.
• The embargo would have little effect, as the country could simply increase domestic consumption of its primary export.
• The country would stop producing the export altogether, leading to a complete collapse of the industry.
• The country would increase its production of the export to lower its price and encourage more domestic use.

Answer explanation

Consider the economic consequences of an embargo on a country heavily reliant on a single export.