1.  Define subsidy and subsidize.

2.  a) What are Link Up and Lifeline?
b)  Why is the FCC overhauling these programs?  Be specific.

3.  a) How much money did the FCC's Lifeline program spend in 2011 to give phone service to low-income Americans? - How much did it spend in 2008?
b)  How many Americans were given Lifeline in 2011 as compared to 2008?

4.  What is the FCC doing to end the fraud associated with Link Up and Lifeline?

5.  a) How much fraud did the National Lifeline Accountability Database catch in 2011?
b)  How much money do you think was stolen by cheaters between 1996 when the program was first implemented by President Clinton's law, and 2011, when the FCC finally attempted to put an end to the fraud?

6.  Re-read para. 18-25.  How effective do you think the overhaul of these government subsidies will be?

7.  a) What is the Broadband Adoption Pilot Program?
b)  For what reason have the 5 members of the FCC board voted to implement this program?
c)  What is the purpose of the FCC?
d)  The money to pay for Link Up, Lifeline, and now the Broadband Adoption Pilot Program come from taxes/fees added onto every person and business' phone bill.  
Is high-speed internet access a necessity to every home?  Should the government, through the FCC, provide high speed internet access to low-income residents by charging fees to those who pay for their own phone and internet?  Explain your answers.

CHALLENGE QUESTION:  How much does your family pay through government fees on the phone bill to subsidize landlines and cell phones for low-income households? The USF (Universal Service Fund) may have different names on the bill, depending upon your service provider.  Also, check both local and long distance plans on the bill--both parts of the bill include a separate USF fee.  (Look for terms such as "Federal Fees and Surcharges," "Federal Subscriber Line Charge" or "Federal Universal Service Fee.")
a) Check your family's cell phone bill for the monthly USF fee.  Multiply by 12. 
b)  Check your family's landline (home phone) bill for the USF fee.  Multiply by 12. 
c)  Add the two numbers together for the total of how much money you pay toward the government's Lifeline program.