From Elizabeth Warren’s testimony before the House Financial Services Committee, March16, 2011 4. Use this passage and your knowledge of the history of the United States to answer questions A, B, and C. A) Briefly explain the main point of this passage in terms of ONE of the following:  The role of the federal government in regulating economic life  Reform movements advocating change to the U.S. economic system  The increase of economic inequality after 1980 B) Describe ONE similarity between Warren’s position, above, and the Progressives’ position on financial reform between 1890 and 1920.

C) Describe an event or development between 1890 and 1920 to support your assertion in B above. Learning Objective Historical Thinking Skill Key Concepts in the Curriculu m Framewo rk WXT-6 Explain how arguments about market capitalism, the growth of corporate power, and government policies influenced economic policies from the late 18 th century through the early 20 th century. WXT-7 Compare the beliefs and strategies of movements advocating changes to the U.S. economic system since industrialization, particularly the organized labor, Populist, and Progressive movements. WXT-8 Analyze the causes and effects of major internal migration patterns such as urbanization, suburbanization, westward movement, and the Great Migration in the 19 th and 20 th centuries. Comparison Contextualizatio n Appropriate Use of Relevant Historical Evidence 7.1.II 9.3.I ANSWER A) A good response will explain the main point of this passage in terms of the role of the federal government in regulating economic life, reform movements advocating change to the U.S. economic system, or the increase of economic inequality after 1980: Role of Federal Government  Policy debates emerged over what the size and scope of federal involvement should be when it came to social safety nets.  With the rise of free trade agreements, many were uneasy about the role of the federal government in regulating trade.  The author argues that without regulation of lending practices, American consumers are at the mercy of unfair practices. Reform Movements

 Rising costs in healthcare led many to call for significant reforms to Medicare and Medicaid.  With the baby boom generation reaching retirement, policy debates intensified over Social Security reform.  Conflicts overseas in regions like the Middle East brought debates about U.S. dependence on fossil fuels—like oil—and its sustainability to the forefront. Increase of Economic Quality  After the turbulent 1970s, businesses began to invest heavily in new technology as a means to make them more productive and efficient— including energy-efficient plants and offices.  The Gross National Product almost quadrupled between 1980 and 2000 and inflation was at all-time lows.  Developing computer technology—particularly the internet— dramatically changed the ways in which people accessed information and competed economically.