The Multi-Car Discount Is Based on the Assumption That

question 6

Multiple Choice

The multi-car discount is based on the assumption that

• A)two cars owned by the same person will not be driven as frequently as one car.
• B)multiple vehicle owners are safer drivers.
• C)owners of more than one vehicle are more likely to be financially responsible.
• D)lower liability limits are needed if there are multiple autos insured.

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Definitions:

Net Taxes

Refers to the total amount of taxes collected by the government minus any transfers and subsidies provided by the government to individuals or companies.

Government Purchases

Expenditures by government bodies on goods and services to fulfill their operational needs and to provide public services.

Aggregate Demand Curve

A graph that shows the relationship between the total demand for all goods and services in an economy and the overall price level, typically having a downward slope.

Aggregate Demand

The total demand for all goods and services within a particular economy at a given overall price level and in a given time period.