During the 1970s,demand-Management Policy

question 124

Multiple Choice

During the 1970s,demand-management policy:

• A)continued to be highly successful in curing the economy's economic problems.
• B)was found to be highly unsuitable in periods of stagflation such as the decade of the 1970s.
• C)was so unsuccessful that economists advised a return to the pre-World War II philosophy of fiscal policy.
• D)was unsuccessful because automatic stabilizers no longer influenced the economy.
• E)was unsuitable because it affected aggregate supply more than aggregate demand.

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Definitions:

Strict Liability

A legal principle that holds a party responsible for damages or harm caused without the need to prove negligence or fault.

Contributory Negligence

A legal principle where the plaintiff is partially responsible for the harm caused and the compensation may be reduced accordingly.

Dry-Cleaning Chemicals

Dry-cleaning chemicals are solvents used in the dry-cleaning process to remove stains from fabrics without the use of water, commonly including perchloroethylene.

Vicarious Liability

The responsibility of one person or entity for the actions of another person, typically in an employer-employee relationship.