Understanding financial policy is essential to understand and manage financial situations. The purpose of a policy quiz is to help you get a better understanding of an issue and what areas you need more information. By understanding the policy properly, you will be able to predict its effect on the economy, thus having an idea how it affects your life.
One example of a policy quiz is the one I recently took for my Urban Financial Policy class at Queens College. I was required to answer an extensive questionnaire about all the economic and financial issues that affect my field (taxation, economics, etc). Although every question was asked in a specific way, it still took a great deal of concentration to understand and complete.
The questions on my financial policy quiz range from personal, such as questions about my hobbies, to more complex areas like inflation, unemployment rates, consumer spending habits, economic indicators and political developments in my country and abroad. As it would turn out, the most difficult part of my policy quiz was the last section that explained what I had just learned. That’s because it covered a wide array of topics that were actually not related to my work. It started with a short explanation about why economics is an important subject for policy makers. Then it went on to explain that the key elements of a sound fiscal policy include reducing the national debt, raising the purchasing power of the currency, and increasing economic growth. Then it went on to list some of the complicated elements of fiscal policy like interest rates and exchange rates, and the role of central banks.
If I hadn’t taken the time to do this policy quiz, I might have confused the meaning of some of the terms. For example, when I told students that their tax burden is an economic burden, they could have thought of it as an IRS tax bill. A policy that reduces the national debt could be described as reducing the interest rate on a mortgage or improving the structure of the U.S. budget. If I had taken this policy quiz at the start of my degree, I might have confused the concept of fiscal policy with the analysis of macroeconomic policies. The end result would have been that I failed to learn enough about the policy and the importance of economic growth.
In fact, the most important benefit of taking the quiz is that it gives students a chance to see the wide variety of policy measures that are used in the United States. Students can learn about trade barriers, subsidies, patent protection, health care, energy policies, and environmental policy. The quiz also provides a way for students to see how different policies affect different people and different areas of the economy.
When I took the quiz, I also noticed that I was curious about how different factors influenced economic growth. There are four main factors that determine the level of national income: personal consumption expenditure, capital income, savings, and net worth. These four factors are not constant across the board. Some people are more affluent than others. Also, income is not evenly distributed across the population. The quiz gave me a chance to learn about the different ways in which I could maximize the benefits of my money.
The fourth section of the quiz quizzes asked me about the state of the housing market, the quality of the schools in each district, and the state of local business finances. I learned that the economic recovery has not been fully realized in some regions. I also became aware of the various programs that were providing short-term relief to borrowers. In addition, I learned about the various tax breaks that I qualified for during my time as a student, which I believe were instrumental in helping me pay for my education. Taking the quiz will take my urban financial policy quiz for me, but I know that I have gained valuable knowledge about the various aspects of the American economy.