Which of the Following Statements Is True of Campaign Financing

question 53

Multiple Choice

Which of the following statements is true of campaign financing?

• A) huge amounts of campaign spending is involved in federal elections
• B) contributions buy favors from officeholders
• C) corporations provide bulk of the funding for campaigns
• D) contributions make firms gain access to members of Congress for lobbying

Identify and explain various informal fallacies.

Recognize the impact of fallacies on the validity of an argument.

Distinguish between fallacies of relevance, ambiguity, and assumption.

Understand strategies for avoiding informal fallacies in argumentation.

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Definitions:

Dividend Per Share

The amount of dividend that a company pays out to each shareholder per share.

Trading Securities

Financial assets such as stocks and bonds held by an investor with the intent of selling them in the short term to profit from price fluctuations.

Unrealized Gains

Profits that have been achieved on paper due to an investment increasing in value but have not yet been cashed in by selling the asset.

Fair Value

A measurement of the price at which an asset or liability could be exchanged in an orderly transaction between market participants at the measurement date.