Which of the Following Was an Argument for Using Fiscal

question 154

Multiple Choice

Which of the following was an argument for using fiscal policy in situations like the Great Recession?

• A)Congress can act quickly.
• B)The size of a recessionary gap may require the use of both fiscal policy and monetary policy.
• C)Once the federal funds rate is reduced to zero, monetary policy is less effective.
• D)All of these responses are correct.

Learn the legal implications of contractual capacity and how it affects certain groups, such as minors.

Understand the consequences of mistakes, misrepresentations, undue influence, and duress on the genuineness of assent.

Recognize the importance of legality in contracts and the impact of illegal agreements.

Analyze the necessity of clear, certain terms in contracts and the role of agreement in contract formation.

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Definitions:

Legal Benefit

An advantage or gain, especially in a contractual context, that a party receives, which constitutes consideration necessary for a valid contract.

Unilateral Contract

A contract in which only one party makes a promise or undertakes a performance, while the other side only has to perform if they choose to.

Forbearance

An agreement between a debtor and lender to temporarily postpone repayment of a loan, often to avoid default.

Illusory Promise

signifies a statement that appears to be a promise but does not actually bind the party making it to a particular action or outcome, thus lacking the substance necessary for a valid contract.