Gresham's Law

question 195

Multiple Choice

Gresham's Law

• A) deals with the theory of regulatory forces in the economy.
• B) is the tendency for good money to drive bad money out of circulation.
• C) is the tendency for bad money to drive good money out of circulation.
• D) was passed in 1913, as part of the Federal Reserve Act.

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Definitions:

Deficiency Needs

Deficiency needs are basic human requirements that must be met for individuals to develop normally, according to Abraham Maslow's hierarchy of needs.

Growth Need

Refers to an individual's desire for personal development, particularly in terms of acquiring new skills, challenges, and opportunities for advancement.

ERG Theory

A theory of human motivation that categorizes needs into three categories: Existence, Relatedness, and Growth, suggesting that more than one need can be operative at the same time.

Expectancy Theory

A motivational theory stating that an individual's motivation is influenced by the belief that effort will lead to performance and performance will lead to desired rewards.