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The Social Security benefits that today's retirees receive are funded primarily by


A) tax contributions they made in the past,which were put in a trust fund from which current payments are made.
B) payroll taxes on people who are currently working.
C) equal contributions from the national and state governments.
D) borrowed funds,which contribute to the national debt.
E) None of these answers is correct.

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The Food Stamps program is


A) criticized because some believe it allows undeserving people to get aid.
B) criticized because some think it stigmatizes its users by identifying them publicly as welfare cases.
C) an in-kind benefit.
D) criticized because some think it is too costly.
E) All these answers are correct.

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Of the following,which is likely the LEAST criticized public assistance program?


A) Supplemental Security Income
B) Aid to Families with Dependent Children
C) Food Stamps
D) Medicaid
E) housing subsidies

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The Aid to Families with Dependent Children (AFDC) program was unpopular in part because of


A) its public perception of welfare dependency and irresponsibility.
B) lack of public concern for child welfare.
C) public opposition to locally administered welfare programs.
D) public opposition to welfare programs for the needy.
E) None of these answers is correct.

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Social insurance programs have high levels of public support because


A) of their self-financing feature.
B) they are based on an equality principle-all citizens are eligible for the benefits and all recipients receive the same level of benefits.
C) their cost is consistently below the spending level for public assistance programs.
D) of the necessity of increased taxes to fund them.
E) None of these answers is correct.

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A

Which of the following is true of the federal government's role in education?


A) The federal government provides roughly 25% of total school funding throughout the country.
B) The federal government provides roughly 70% of total school funding throughout the country.
C) The federal government's role in education was relatively small before the 1960s.
D) The 1964 Higher Education Act devolved a lot of education policy back to the states.
E) Pell grants remain the states' largest source of financial control over school policies.

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Discuss what is meant by a social insurance program and provide examples.

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Social insurance programs are those prog...

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The poverty line in 2009 was set at roughly ________ for an urban family of four.


A) $9,500
B) $22,000
C) $28,000
D) $40,000
E) $52,000

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The term means test refers to


A) the tax on a portion of the Social Security benefits of upper-income retirees.
B) whether an applicant's income is low enough to qualify for public assistance.
C) the mandatory physical examination that Medicare and Medicaid applicants must undergo before they can receive benefits.
D) the mandatory psychological examination that Medicare and Medicaid applicants must undergo before they can receive benefits.
E) None of these answers is correct.

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B

Which of the following statements is NOT true about Medicaid?


A) It is a public assistance program.
B) It is funded by general tax revenues.
C) It serves all Americans who cannot afford health insurance.
D) It is controversial due to its cost.
E) It is funded by both the federal government and the states.

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Charter schools


A) are publicly funded and have no more freedom in choosing students than do public schools,though they have greater freedom in determining curricula.
B) are privately funded and have total freedom in determining curricula.
C) are publicly funded but have more freedom in determining curricula than public schools.
D) are promoted primarily by Democrats as a strong,publicly-funded method of improving education.
E) have been opposed by President Obama,through executive orders to drain their funding.

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A recent poll determined that most Americans believe which of the following is the second costliest federal program?


A) education
B) public assistance programs
C) environmental protection
D) farm subsidies
E) social insurance programs

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The bureaucratic costs of welfare are substantially lower in Europe because most European countries


A) farm out their welfare programs to the local level,where administration is more efficient.
B) require that each individual prove his or her own eligibility.
C) do not allow universal eligibility.
D) have unitary rather than federal systems.
E) offer far fewer welfare benefits than the United States.

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The American welfare system is widely criticized for being inefficient.Explain this criticism,and describe the underlying causes of inefficiency.

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Inefficiency refers to the fact that muc...

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________ was terminated in 1996.


A) The Food Stamps program
B) Medicaid
C) Medicare
D) SSI
E) AFDC

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In ________,Congress added a prescription drug benefit to Medicare.


A) 1967
B) 1978
C) 1986
D) 1994
E) 2006

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E

________ persuaded Congress to enact the No Child Left Behind Act.


A) President Ronald Reagan
B) President Bill Clinton
C) President George W.Bush
D) Vice President Al Gore
E) Vice President Dan Quayle

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Which of the following is true of social security and Medicare?


A) Eligibility requirements make sure that all social security beneficiaries have an absolute economic need for the benefit.
B) Spending on Medicare and social security exceeds the total of all spending of public assistance programs.
C) Most retirees receive less in social security benefits than they contributed in payroll taxes while working.
D) Social security income is decided as follows: the lower your income while working,the larger your social security benefit upon retirement.
E) Families in the top fifth of the income population receive more in social security and Medicare benefits than the government spends in total on TANF,SSI,food stamps,and housing subsidies for the poor.

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Which of the following is NOT a guideline within which the TANF program must operate?


A) States have no discretion in their handling of welfare cases.
B) Eligibility for cash assistance is limited to no more than five years in a lifetime.
C) Within two years,the heads of most families on welfare have to find work or risk the loss of benefits.
D) Unmarried teenage mothers qualify for welfare benefits only if they remain in school and live with a parent or legal guardian.
E) Single mothers will lose a portion of their benefits if they refuse to cooperate in identifying the father of their children.

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The EITC (Earned Income Tax Credit) represents a reallocation of income to


A) wealthy individuals.
B) lower-income working individuals.
C) middle-class taxpayers.
D) corporations.
E) all working families.

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