QUESTION The Boldovian government took Sea Lion Inc., a domestic, private shipbuilding firm, into state ownership to save the company from bankruptcy. However, the other private competitors in the shipbuilding industry were enraged by this decision of the government. As a result, the government had to reduce the tax burden on all other private shipbuilding […]
QUESTION Which of the following is true about the three broad types of economic systems? A. For a pure market economy to function efficiently product supply must be restricted. B. In a command economy, state-owned enterprises have little incentive to control costs and be efficient. C. The sole role of government in a command economy […]
QUESTION Collectivist-inclined totalitarian states tend to enact laws that severely restrict private enterprises, whereas the laws enacted by governments in democratic states, where individualism is the dominant political philosophy, tend to be pro-private enterprise and pro-consumer. This indicates that the: A. economic system of a country is independent of its legal system. B. legal system […]
QUESTION Which of the following is true about legal systems? A. All countries have the same, uniform legal environment. B. Unlike the economic system of a country, the legal system is independent of the country’s political system. C. The government of a country defines the legal framework within which firms do business. D. The attractiveness […]
QUESTION Which of the following legal systems is most likely to be based on tradition, precedent, and custom? A. Common law B. Civil law C. Autocracy law D. Monarchy law E. Universal law ANSWER A Common law is based on tradition (a country’s legal history), precedent (cases that have come before the courts in […]
QUESTION In the context of common law, which of the following terms refers to the ways in which laws are applied in specific situations? A. Tradition B. Precedent C. Custom D. Interpretation E. Culture ANSWER C Common law is based on tradition, precedent, and custom, where custom refers to the ways in which laws […]
QUESTION Those who attempt to achieve the same ideologies as that of the communists without violent revolution and totalitarian dictatorship are: A. pure capitalists. B. social democrats. C. individualists. D. anarchists. E. aristocrats. ANSWER B Social democrats committed themselves to achieving socialism by democratic means.
QUESTION Which of the following generally permits individual economic freedom, but restricts individual political freedom on the grounds that it would lead to the rise of communism? A. Pure democracy B. Right-wing totalitarianism C. Free market capitalism D. Representative democracy E. Communist totalitarianism ANSWER B Right-wing totalitarianism generally permits individual economic freedom, but restricts […]
QUESTION Which of the following is true about communism? A. Communism propagates the idea of “private profit rather than public good.” B. By the mid-1990s communism started rising worldwide. C. China has moved sharply away from strict adherence to communist ideology in the economic sphere. D. Communists committed themselves to achieving socialism by turning their […]
QUESTION The fascist regimes that ruled Germany and Italy in the 1930s and 1940s had adopted: A. right-wing totalitarianism. B. theocratic totalitarianism. C. representative democracy. D. pure democracy. E. totalitarian democracy. ANSWER A The fascist regimes that ruled Germany and Italy in the 1930s and 1940s were right-wing totalitarian states.
