An Instrument Payable to Two or More Persons in the Alternative

question 61

Multiple Choice

An instrument payable to two or more persons in the alternative, such as a check "payable to the order of Elena or Ferrar,"

• A)requires the indorsement of only of the parties to be negotiated.
• B)requires the indorsement of both of the parties to be negotiated.
• C)must be converted to a bearer instrument to be negotiated.
• D)is nonnegotiable.

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Definitions:

Crowding-out Effects

The phenomenon where increased government spending leads to a reduction in private sector spending.

Supply-siders

Supply-siders are economists or policymakers who believe that reducing tax rates and regulatory barriers to production and investment can stimulate supply, leading to economic growth.

Aggregate Supply

The total supply of goods and services that firms in an economy are willing and able to produce at different price levels during a specific time period.

Automatic Stabilizers

Changes in fiscal policy that stimulate aggregate demand when the economy goes into a recession without policymakers having to take any deliberate action