A Cheque Involves Three Parties: the Maker, Who Signs the Cheque

question 80

True/False

A cheque involves three parties: the maker, who signs the cheque, the payee, who is the recipient, and the bank, on which the cheque is drawn.

---

Definitions:

Positive Externalities

Benefits experienced by third parties due to the actions of others, for which the third party does not pay.

Chronic Budget Deficits

Persistent shortfalls in a government's budget where expenditures surpass revenues over an extended period.

Unfunded Liabilities

Financial obligations that do not have enough funds set aside to cover them, often relating to pensions or other long-term commitments.

Monetary Policy

The management of the money supply and interest rates by the central bank to influence economic growth and stability.