CHAPTER 25
Economic Democracy
MULTIPLE CHOICE QUESTIONS
215. Formal political democracy means
a. all citizens can vote and speak their minds.
b. all citizens have an equal amount of political power.
c. all citizens with a significant amount of wealth are in control of the government.
d. the government is in the hands of the military.
216. what is the difference between formal political democracy and effective political
democracy?
a. in an effective political democracy, all citizens are able to vote and express their
opinions.
b. in an effective political democracy, all citizens are able to participate on fairly equal
terms.
c. in an effective political democracy, the country has all the mechanisms and forms of
democracy in place.
d. in an effective political democracy, certain groups with wealth or military control have
disproportionate power.
217. How high is voter turnout in American presidential elections?
a. In most elections, approximately 75% of eligible voters actually vote.
b. In most elections, approximately 50% of eligible voters actually vote.
c. In most elections, approximately 25% of eligible voters actually vote.
d. In most elections, approximately 95% of eligible voters actually vote.
218.
a. in economic democracy, goods and services are determined by vote.
b. in an economic democracy, all people are able to participate in and govern the economy.
c. in an economic democracy, a country is able to afford all the mechanisms and forms of
democracy.
d. in an economic democracy, the wealthy rule both the economy and the political process.
219. An economic enterprise governed by all member/owners equally rather than by in
proportion to the amount of stock held is called
a. a partnership
b. a corporation
c. a cooperative
d. a firm
220. An economic enterprise owned by the government is called
a. a public enterprise.
b. a private enterprise.
c. a corporate enterprise.
d. a utility.
221. An economic enterprise owned by stockholders is called
a. a cooperative
b. a corporation
c. a public partnership.
d. a proprietorship.
222. What are the two rules that govern consumer cooperatives formed to buy electricity?
a. they must be democratic, and they must pay taxes on all profits.
b. They must be profitable, and return a dividend to their investors.
c. They must be democratic and nonprofit.
d. They must submit any revenue in excess costs to the government, and submit annual
reports to investors.
223. What is one of the most important limits on effective democracy in the United States?
a. the lack of formal democratic institutions.
b. the lack of interest in political elections by the mainstream media.
c. the disproportionate influence of wealthy individuals and corporations.
d. strong voter interest and knowledge of relevant political issues.
224. What problem reduces the degree of completeness and effectiveness of American
democracy?
a. democracy exists in the social sphere but not in the political sphere
b. democracy exists in the economic sphere but not in the social sphere.
c. democracy exists only the economic sphere but not in the political sphere.
d. democracy exists in the political sphere but not in the economic sphere.
225. National Public Radio (NPR) and the Public Broadcasting System (PBS) are funded
primarily by
a. advertisers
b. subscribers and taxpayers.
c. employees
d. stockholders.
226. The final remnants of feudalism in Europe were ended by
a. the English Revolution of 1648 and the French Revolution of 1789
b. the French Revolution of 1789 and the American Revolution of 1776.
c. the Russian Revolution of 1917 and the Spanish Revolution of 1936.
d. the English Revolution of 1648 and the American Revolution of 1776.
227. Ancient Athens is cited as an example of
a. formal political democracy but not effective political democracy.
b. effective political democracy but not formal political democracy.
c. formal political democracy and effective political democracy.
d. neither formal political democracy nor effective political democracy.
228. The largest cooperative in the U.S. is
a. National Public Radio
b. the Los Angeles Department of Water and Power.
c. the Tennessee Valley Authority
d. the National Rural Electric Cooperative Association.
229. The approximate number of people in the U.S. without health insurance is presently
a. 5 million people.
b. 25 million people.
c. 45 million people.
d. 90 million people.