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| The principle that government should not meddle in the economy. |
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| An economic theory holding that the supply of money is the key to nation's economic health. |
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| Keynesian Economic theory |
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| The theory emphasizing that government spending and deficits can help the economy weather its normal ups and downs. |
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| An economic theory holding that too much income goes to taxes and too little money is available for purchasing; the solution is to cut taxes and return purchasing power to consumers. |
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| Policies for which expenditures are uncontrollabe because Congress has in effect obligated itself to pay X level of benefits to Y number of recipients. |
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| Government programs available only to individuals below the poverty line. |
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| A tax by which the government takes a greater share of the income of the rich than of the poor. |
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| A tax by which the government takes the same share of of income from everyone, rich and poor alike. |
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| Benefits given by the government directly to individuals. |
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| Health Maintenance Organization (HMO) |
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| Organizations contracted by individuals or insurance companies to provide health care for a yearly fee. |
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| Environmental Impact Statement (EIS) |
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| A report filed with the EPA that specifies what environmental effects a proposed policy would have. |
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| A fund created by Congress to clean up hazardous waste sites. |
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| The commanding officers of the armed service who advise the president on military policy. |
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| Allows governors to veto particular portions of a bill. |
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| A hybrid system of appointment and election used to select judges in 17 states. |
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| A process whereby voters may put proposed changes in the state constitution to a vote if sufficient signatures are obtained in petitions calling for such a referendum. |
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| A state-level method of direct legislation that gives voters a chance to approve or disapprove legistion or a constitutional amendment proposed by the state legislature. |
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| A procedure that allows voters to call a special election for a specifc offical in an attempt to throw him or her out of office before the end of his or her term. |
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| The idea that local governments have only those powers that are explictly given them by the states. |
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| The practice by which municipalities are permitted by the states to write their own charters and change them without permission of the state legislatures, within limits. |
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