Why Does the Constitution Create Incentives for Party Organization

question 71

Multiple Choice

Why does the Constitution create incentives for party organization?

• A) The provision for enacting laws and electing leaders puts a huge premium on building majority alliances across institutions and electoral units.
• B) The government cannot function until formal party organizations are instituted because parties clearly identify the common good.
• C) The unicameral nature of the legislature with many interests from the states requires an organizational force to overcome barriers to collective action.
• D) Only by developing party organizations in the elected units of government can they effectively counter individuals serving in the judiciary and bureaucracy.

---

Definitions:

Market Risk

The potential for investors to lose money due to fluctuations in market prices.

Beta

A measure of a stock's volatility in relation to the overall market; a beta greater than 1 indicates that the stock is more volatile than the market.

Market Risk Premium

It is the extra return investors expect from holding a risky market portfolio instead of risk-free assets.

Required Rates Of Return

The minimum annual percentage earned by an investment that will entice individuals or companies to put money into a particular project or investment.