The Doctrine of Laissez Faire Is Based on the Belief

question 18

Multiple Choice

The doctrine of laissez faire is based on the belief that

• A)Markets are likely to do a better job of allocating resources than government directives.
• B)Government directives are likely to do a better job of allocating resources than markets.
• C)Government failure does not exist.
• D)Markets result in an unfair distribution of income.

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Definitions:

Holder In Due Course

A party who has acquired a negotiable instrument in good faith and for value, and thus has certain protections against defenses and claims.

Issuer

An entity that develops, registers, and sells securities for the purpose of financing its operations.

Date

A specific point in time, often defined by day, month, and year, which can be associated with events, deadlines, or appointments.

Holder

A person or entity that possesses a negotiable instrument, such as a check or bond, and has the legal right to enforce it.