AP US Government & Politics Review Part V

1. Obamacare: Good or bad? Why? AP US Government & Politics Review Part V Public Policy Please sign in with your first and last names.

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4. What do we mean by public policy?

5. Public Policy (5-15%) • Policy making in a federal system • The formation of the policy agenda • The role of institutions in the enactment of policy • The role of the bureaucracy and the courts in policy implementation and interpretation 5. Linkages between policy processes and the following: • Political institutions and federalism • Political parties • Interest groups • Public opinion • Elections • Policy networks

6. Policymaking Process • What belongs on agenda • Shared beliefs determine what is legitimate • In a crisis, people expect government to take action • Making a decision • Costs and benefits of proposed policy =Cost: any burden (money or not) that people must, or expect to, bear =Benefit: any satisfaction (money or not) that some people must, or expect to, receive

7. Perception of costs and benefits affects politics, whether it is accurate or not • People consider whether it is legitimate for a group to benefit • Politics is a process of settling disputes over who benefits/pays and who ought to benefit/pay • People prefer programs that benefit them at low cost

8. Majoritarian Client Four Types of Politics 4 Types of Politics Entrepreneurial Interest Group

9. Four Types of Politics 1. Majoritarian Politics: Benefits large numbers • Distributes costs to large numbers Example: Antitrust legislation in 1890s, Social Security Act

10. Interest Group Politics: • Benefits a relatively small and identifiable group • Costs imposed on another small identifiable group • Debate carried on with little public knowledge (i.e., labor unions vs. business) • Example: Labor-management conflict of 1930s

11. Client politics: • Small group receives benefits; costs are widely distributed—little incentive to motivate opposition • Those receiving benefits become “clients” of the government • Example: Regulation of milk industry, sugar production • Prevents price competition, keeps prices high • Public unaware of increased cost

12. 4. Entrepreneurial politics: distributed benefits, concentrated costs • Benefits large numbers • Costs imposed on small identifiable group • Success depends on people working on behalf of unorganized majorities—Ralph Nader • Examples: Consumer protection laws • Pure Food and Drug Act 1906 • 1960s and 1970s consumer and environmental laws passed • EPA • Auto Safety • Clean Air Act

13. Question A corporate lobbyist would be LEAST likely to have an informal discussion about a pending policy matter with which of the following? (A) A member of the House in whose district the corporation has a plant (B) A member of the White House staff concerned about the issue (C) A member of the staff of the Senate committee handling a matter of concern to the corporation (D) A federal judge in whose court a case important to the corporation is being heard (E) A journalist for a major newspaper concerned about the issue

14. Answer A corporate lobbyist would be LEAST likely to have an informal discussion about a pending policy matter with which of the following? (A) A member of the House in whose district the corporation has a plant (B) A member of the White House staff concerned about the issue (C) A member of the staff of the Senate committee handling a matter of concern to the corporation (D) A federal judge in whose court a case important to the corporation is being heard (E) A journalist for a major newspaper concerned about the issue

15. Brain Break

16. How would you rate our economic policy right now as a nation?

17. II. Economic Policy • Economic Health • Deficit and balanced budget both lead to policy debates • In 1999, Republicans wanted to cut taxes to return the surplus to the voters; Democrats wanted to use it for new programs and pay down the debt • In 2001, Bush got Congress to pass huge tax cut using the rationale that surpluses represented the government taking too much money from the taxpayers • In 2003, Bush was asking for more tax cuts, even though the surplus is now gone. • Now are a seeing big tax increases under the Obama admin.—healthcare. bailouts, etc.

18. Economic Prosperity Issues • Voters see connections between national economy and personal situation • People do not always vote their “pocketbooks”—they frequently vote based on current condition of national economy, even if their own situation is better—they see indirect or future effect • Politics of Taxing and Spending (fiscal policy) • Majoritarian politics leads to conflicting goals: lower taxes, balanced budget, new programs—taxpayers want things which are in conflict with each other

19. Matching • less government interference, tax cuts which will result in stimulated economy and therefore MORE government revenue instead of less • free market too unreliable; government should plan parts of country’s economic activity—wage and price controls • inflation comes from too much money chasing too few goods—you should increase the money supply at the same rate as economy is growing • government should create right level of demand—if demand is too low, government should spend more money, even if deficit spending results Economic theories: • ____ Monetarism • ____Keynesianism • ____Planning • ____Supply-side

20. Reaganomics: combination of monetarism, supply-side tax cuts, and domestic budget cutting (1980s) • Eventually economy was stimulated but there were huge deficits • Reagan agreed to raise taxes 3 times after his initial supply-side tax cuts

21. Machinery of Economic Policymaking • Council of Economic Advisers: forecast economic trends, prepares annual economic report for President • OMB: prepares annual budget • Secretary of Treasury: represents financial community’s point of view

22. Machinery of Economic Policymaking Federal Reserve Board: Independent of both President and Congress • Members nominated by President, confirmed by Senate, serve 14-year term • Regulates supply and price of money (Monetary Policy)

23. Machinery of Economic Policymaking Congress important in economic policy (Fiscal Policy) • Approves all taxes and expenditures • Must consent to wage and price controls • Spending money: Politicians have incentives to make two kinds of appeals to voters: • Keep spending down and cut deficit • Support the programs the voters like

24. The Budget • Most (2/3) of government spending is outside the budget process (mandatory spending: entitlements, interest on the debt)

25. Taxes • Tax burden is low—Americans pay a less than citizens of most other democracies • Taxes are progressive—wealthier Americans pay a higher percentage • Client politics makes tax reform difficult

26. Question A member of the House of Representatives wishing to influence tax policy would most likely try to serve on which of the following committees? (A) Commerce (B) Ways and Means (C) Education and the Workforce (D) Resources (E) Judiciary

27. Answer A member of the House of Representatives wishing to influence tax policy would most likely try to serve on which of the following committees? (A) Commerce (B) Ways and Means (C) Education and the Workforce (D) Resources (E) Judiciary

28. Fiscal policy & Monetary policy-2008 FRQ Fiscal policy & Monetary policy – Executive and Legislative branches set fiscal policy, Federal Reserve Board sets monetary policy. a) Define fiscal policy b) Describe executive branch’s influence over fiscal policy c) Describe legislative branch’s influence over fiscal policy d) Define monetary policy e) Two reasons why Federal Reserve Board is given independence in establishing monetary policy.

29. Social Welfare

30. Social Welfare/Entitlements • Who deserves to benefit? • Americans believe it should be only those who cannot help themselves • Preference is to give services, not money to help deserving poor • National welfare policy came after 22 European nations—Great Britain established welfare and health care in 1908 • Federal involvement in national welfare laws "illegal" until 1930s when Supreme Court changed its mind about New Deal

31. Majoritarian welfare programs • Social Security Act of 1935 because state and local relief programs were overwhelmed; two-part plan       (1) "Insurance" for unemployed and elderly               (2) "Assistance" for dependent children (AFDC)                (3) Federally funded, state-administered program • Medicare Act of 1965            a. Medical benefits had been omitted in 1935: controversial but done to make sure it passed             b. Broadened by Ways and Means to include Medicaid for poor, pay doctors' bills for elderly

33. How do we address this problem?

34. F. AFDCA. Part of Social Security Act (1935) B. First, federal aid to state programs, with states establishing rules C. Programs added (food stamps, Earned Income Credit) D. Progressively lost legitimacy over the years and was abolished in favor of TANF in 1996. E. TANF no longer an entitlement; 2-year consecutive limit, 5-year lifetime limit on benefits • Acronym Alert! • Temporary Assistance for Needy Families (TANF) • Aid to Families with Dependent CHildrenAFDC)

35. Question The government often finds it difficult to make substantive change to entitlement programs for which of the following reasons? (A) Most such programs were established by constitutional amendment (B) These programs are extremely popular among their numerous beneficiaries (C) Such programs are vital to national defense (D) Most such programs primarily benefit the wealthy, a powerful political bloc (E) These programs’ budgets are determined by nonelected bureaucrats, not by Congress

36. Answer The government often finds it difficult to make substantive change to entitlement programs for which of the following reasons? (A) Most such programs were established by constitutional amendment (B) These programs are extremely popular among their numerous beneficiaries (C) Such programs are vital to national defense (D) Most such programs primarily benefit the wealthy, a powerful political bloc (E) These programs’ budgets are determined by nonelected bureaucrats, not by Congress

37. Question The largest portion of the federal budget covers the costs of (A) national defense (B) social welfare programs (C) interest on the national debt (D) entitlement programs (E) tax collection

38. Answer The largest portion of the federal budget covers the costs of (A) national defense (B) social welfare programs (C) interest on the national debt (D) entitlement programs (E) tax collection

39. What are some notable foreign policy moves on the behalf of recent presidents?

40. Foreign Policy • President commander in chief but Congress appropriates money • President appoints ambassadors, but Senate confirms • President negotiates treaties, but Senate ratifies-- But Americans think president in charge, which history confirms

41. War Powers Act of 1973 (1) Only sixty-day commitment of troops without authorization by Congress (2) All commitments reported within forty-eight hours (3) no president has acknowledged constitutionality (4) Ford, Carter, Reagan, Bush, and Clinton sent troops without explicit congressional authorization

42. Question Invocation of the War Powers Act of 1973 would be most important in determining which of the following? (A) The nature of the commitment of United States Marine to a peace-keeping role in Lebanon (B) The amount of financial aid to the Contras of Nicaragua (C) The timing of naval maneuvers off the coast of Libya (D) The appointment of the Joint Chiefs of Staff (E) The legality of extraditing foreign agents responsible for acts of terrorism against United States citizens abroad

43. Answer Invocation of the War Powers Act of 1973 would be most important in determining which of the following? (A) The nature of the commitment of United States Marine to a peace-keeping role in Lebanon (B) The amount of financial aid to the Contras of Nicaragua (C) The timing of naval maneuvers off the coast of Libya (D) The appointment of the Joint Chiefs of Staff (E) The legality of extraditing foreign agents responsible for acts of terrorism against United States citizens abroad

44. 2007 FRQ

45. Educational Policy

46. Environmental Policy Global Warming       A. Entrepreneurial politics gave rise to environmental movement • Clean Air Act in 1970--The Clean Air Act was weakened in 1977 but revived in 1990 with tougher standards • Two years later Congress passed laws designed to clean up water • three years later Congress adopted the Endangered Species Act

47. The environmental uncertainties Why is it so difficult to have a sane environmental policy? • Many environmental problems are not clear-cut • Goals are often unclear; public opinion can shift •          Means of achieving goals are complicated by technological problems, economics

48. 2000 FRQ a) Three problems of decentralized power that existed under the Articles of Confederation. For each problem you listed, identify one solution that the Constitution provided to address the problem. b) Choose one, explain how it illustrates that the tensions between decentralized and centralized power continue to exist. • Environmental policy • Gun control • Disability access

49. Questions • Reminder: Last session on Civil Rights and Liberties will be Wednesday @ 7 pm