Government Unit 4 Test Review: Federalism

What is the Federal Reserve?

• The regulatory agency that collects and audits taxes
• The investigatory body that helps create the budget
• The central banking system of the US
• The group responsible for enforcing trade laws

What did the War Powers Resolution do?

• limited the war powers of presidents
• expanded the war powers of presidents
• gave presidents the authority to command troops
• ended Congress's ability to declare war

What does the House Ways and Means Committee deal with?

• Deals with how the government spends money
• Deals with how the government gets money
• Deals with scheduling bills for debate and voting
• Deals with committee appointments and leaders

Influencing interest rates is an example of...

• Fiscal policy
• Monetary policy

Passing a tax law is an example of...

• Fiscal policy
• Monetary policy

If the government spends more money than it brings in during a fiscal year, this is called a...

• Budget surplus
• Budget deficit
• Balanced budget
• National debt

Where does around 95% of the federal government's revenue come from?

• different types of taxes
• customs duties (tariffs)
• earnings from the Federal Reserve system
• foreign trade fees

Why can't the federal government tax exports?

• It is specifically forbidden in the Constitution
• The Constitution does not mention this
• Federalism prevents this from happening
• It is considered a reserved power of the states

Who can buy Treasury securities?

• Only citizens of that country
• Anyone
• Only other countries
• Only financial institutions

Explain why foreign recognition (in the context of this unit) is important.