Which of These Is Most Likely to Result When a Demand-Management

question 144

Multiple Choice

Which of these is most likely to result when a demand-management policy is used in an economy that is experiencing stagflation?

• A)A decrease in investment spending
• B)An increase in the rate of inflation
• C)An increase in unemployment
• D)A decrease in the rate of inflation
• E)A decrease in real GDP

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Definitions:

Commercial Impracticability

A doctrine that excuses the performance of a contract when an unforeseen event makes it excessively burdensome or difficult to carry out as agreed.

Fraudulent Misrepresentation

False statements made knowingly, without belief in their truth, or recklessly, with intent to deceive and induce another to enter into a contract.

Rescind

To revoke, cancel, or annul a contract, making it as if it never existed.

Express False Statement

A false declaration or claim made explicitly, often in writing or verbally, with the intention of misleading.