Fiscal Policy Is Neutral in the Long Run Even in an Open

question 59

Multiple Choice

Fiscal policy is neutral in the long run even in an open economy in part because

• A) any increase in government spending is negated either by a reduction in net exports or by a reduction in investment.
• B) higher rates of interest and higher price levels reachieve equilibrium at potential GDP with a higher real exchange rate.
• C) any increase in government spending is immediately financed by influxes of foreign investment.
• D) a and b.
• E) all of the above.

Recognize the role of consideration in the validity of an assignment.

Discuss the enforcement and defenses available to promisors and third parties in contracts.

Identify and explain the types of contracts or rights that are non-assignable and non-delegable.

Understand the distinctions and legal implications between bilateral contracts and unilateral contracts.

---

Definitions:

Erotophilia

A personality trait characterized by a positive emotional response to sexuality and sexual stimuli.

Feminist Theory

An array of theories aiming to understand gender inequality, focusing on women's social roles and experiences.

Power Over

The ability or authority to control, influence, or dominate someone or something.