State and Local Government Review Sheet Exam 3 Ch 14 16 17 1 What is gross domestic product The sum of all the goods and services produced in the US in a year is known as a total domestic development b entire domestic production c gross market production d gross domestic product 2 What are progressive taxes Taxes that require high income groups to pay a larger percentage of their income in taxes than low income groups are said to be a unfair b progressive c regressive d proportional 3 What are regressive taxes Taxes that disproportionately affect low income groups are said to be a unfair b progressive c regressive d proportional 4 What are the different sources of tax revenue for both state local governments The most important revenue sources for local state governments respectively are a property taxes and income taxes b income taxes and property taxes c property taxes and sales taxes d sales taxes and corporate taxes 5 How are property tax exemptions used The controversial property tax exemption used as an inducement to encourage this sector to relocate to a community applies to a religious organization b business and industries c educational facilities d charitable organizations 6 Which taxes are considered regressive The state tax considered the most regressive is the a sales tax b property tax c income tax d all of the above 7 What are excise taxes Excise taxes are often places on a cigarettes b alcohol c gas d all of the above 8 Why do states look to keep their corporate taxes low All of the following are endorsements for a corporate income tax EXCEPT a these taxes are popular with voters b individuals indirectly pay corporate taxes c high corporate taxes may cause industries to relocate to a less costly area d None of the above A compelling argument against higher state corporate taxes is the possibility that such taxes will a be charged back in the form of lower consumer prices b cause corporations to relocate to another state c encourage future economic growth d entice more corporations to relocate to the area 9 What is meant by tax burden The term used to identify the proportion of taxes paid in relation to personal income is the a tax burden b tax disability c tax shelter d tax weight 10 Which level of government is affected the most by limitations on taxation The consequences of tax limits have most affected the operations of a federal government b state government c local governments d international governments 11 How do most Americans feel about taxes Popular dislike of taxes a rises with increases in real levels of taxation b rises exponentially when state income taxes are above 4 percent c rises when sales tax levels are above five percent d all of the above 12 What are debt ceilings State constitutions may place restrictions on state debts limiting the total amount of money that a government can borrow in the form of a capital finances b debt ceilings c bond referenda d state loans 13 Know the different types of bonds Those bonds issued by state and local governments that are backed by the full faith and credit of the government that issued them are known as a general obligation bonds b revenue bonds c industrial development bonds d municipal bonds Those bonds issued by state and local governments that are not guaranteed by the issuing government but are instead backed by whatever revenues the project itself anticipates are called a general obligation bonds b revenue bonds c industrial development bonds d municipal bonds Those revenue bonds issue by a municipality to obtain funds to purchase land and build facilities for private businesses are referred to as a general obligation bonds b revenue bonds c industrial development bonds d municipal bonds 14 How is academic performance measured Which if the following is the most meaningful measure of an educational system s academic performances a financial stability b ability to retain and graduate its students c diversity enrollments d number of winning athletic teams 15 What are magnet schools High schools that specialize in certain fields often to attract white students to the inner city and reduce racial isolation are called a integrated schools b magnet schools c specialty schools d charter schools 16 What are charter schools Schools operated with public funds by private community groups under a contract with the public school district are called a charter schools b educational voucher plans c district schools d magnet schools Charter schools a allow innovation but require administrators to show specific student achievement b restrict innovation and require administrators to show specific student achievement c are private schools with no accountability d are based upon specific religions 17 When can money be given to religious educational institutions Public aid to religious educational institutions is constitutional when a advancing a religious mission b provided as a direct subsidy c money is given for religious instruction d the aid program is neutral with respect to religion 18 What are the criticisms of No Child Left Behind No Child Left Behind has been criticized in all of the following ways EXCEPT a testing leads to boredom and higher dropout rates b testing leads to narrow test taking education rather than broad preparation for life c testing requires teachers to devote more time to coaching students how to pass an exam than preparing them for productive lives d tests were racially based 19 How do states ensure local compliance with state educational policy The states ensure local compliance with state educational policy in all of the following ways EXCEPT a selecting members of local school boards b bureaucratic oversight c involvement of state boards of education state commissioners and state departments of education d financial control through state allocation of funds to local school district 20 What body typically controls education within a state Typically state control over education was vested in a the governor s office b the secretary of state c state educational accountability boards d state boards of education 21 Where do most schools get their revenue from Most school revenues are derived from a federal grants b state allocations c local property taxes d state sales taxes 22 What do school superintendents do Which of the following is NOT a major responsibility of school supers a setting the agenda for school board decisions b making policy recommendations c establishing the salary scales d