The Notion of Functional Finance Says That the

question 259

Multiple Choice

The notion of functional finance says that the

• A) economic function of the president is to maintain a balanced budget.
• B) government should not focus on any deficits or surpluses caused by the budget but instead focus on maintaining the economy at full employment.
• C) government should function as a financial leader in the economy.
• D) government's budget should always be balanced over the course of the business cycle.

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Definitions:

White Exhaust Smoke

Emission indicative of coolant entering the combustion chamber, often due to a blown head gasket or cracked engine block.

Detonation

An uncontrolled, explosive ignition of fuel within an engine's cylinder after the spark plug has fired, often causing engine damage.

Circuit

In electricity, a path for electrons to flow from a source of higher electrical potential to a source of lower potential.

Timing Belt

A belt that synchronizes the rotation of the engine's crankshaft and camshaft, ensuring that the valves open and close at correct intervals.