Which of the Following Characterizes a Broad Trend of the Reagan

question 1

Multiple Choice

Which of the following characterizes a broad trend of the Reagan administration in dealing with the U.S. economy?

• A) increasing government payments to businesses
• B) strengthening unions
• C) deregulating the economy
• D) raising taxes

---

Definitions:

Liquidity

Measures the ease with which an asset can be converted into cash without significantly affecting its price.

Speculative Motive

The need to hold cash to take advantage of additional investment opportunities, such as bargain purchases.

Liquidity

The ability of an asset to be converted into cash quickly and without any significant loss in value.

Cyclical Activities

Economic or business activities that are affected by the ups and downs of the economy, showing a tendency to rise and fall in response to economic cycles.