Which of the Following Statements About Franklin Roosevelt's "Court-Packing" Proposal

question 31

Multiple Choice

Which of the following statements about Franklin Roosevelt's "court-packing" proposal is most accurate?

• A) It succeeded in increasing judicial support for Roosevelt's New Deal programs.
• B) It was accepted by the majority of Congress as a reasonable means of countering the entrenched conservatism of the Supreme Court.
• C) It would have forced every Supreme Court justice over the age of 70 to retire or face impeachment proceedings.
• D) It inspired a judicial backlash that effectively brought the New Deal era to an end.
• E) It was unconstitutional, because the Constitution stipulates that the Supreme Court should consist of exactly nine justices.

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Definitions:

Market Risk Premium

The additional return that investors demand for holding a risky market portfolio instead of risk-free assets.

Required Rate Of Return

The required rate of return is the minimum annual percentage earned by an investment that will induce individuals or companies to put money into a particular security or project.

Market Risk Premium

The extra yield an investor anticipates earning by choosing a volatile market portfolio over secure, risk-free investments.

Required Return

Required return is the minimum gain an investor expects to achieve from an investment, accounting for the risk level compared to the return of a risk-free asset.