According to Tobin's Q Theory,________ Policy Can Affect ________ Spending

question 39

Multiple Choice

According to Tobin's q theory,________ policy can affect ________ spending through its effect on the prices of common stock.

• A)fiscal;consumption
• B)fiscal;investment
• C)monetary;consumption
• D)monetary;investment

---

Definitions:

Recreation

Activities done for enjoyment, leisure, or pleasure during one's free time, often contributing to personal and social well-being.

Leisure Time

Designates the free time that individuals have outside of their work or professional duties, used for relaxation, hobbies, or personal interests.

800-Pound Gorilla

A metaphor used to describe a dominant player or entity in an industry or area which has the power to influence the entire market or environment.

Commercialization

The process of transforming goods, services, or ideas into commodities for the purpose of selling them in a market.