Based on the Experience of the Great Depression and the New

question 353

Multiple Choice

Based on the experience of the Great Depression and the New Deal, which one of the following strategies would be most likely to stimulate recovery from a serious economic recession?

• A) increase trade restrictions and tariffs to save jobs and enhance tax revenue
• B) a reduction in the money supply in order to strengthen the dollar and combat inflation
• C) keep taxes low in order to stimulate production and minimize the decline in personal and business income
• D) institute frequent policy changes in order to search for and find the policy combination that would be most effective

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Definitions:

Principle of Opposites

A concept suggesting that everything has an opposite and that the conflict between opposites is a fundamental aspect of human experience.

Motivator

An internal or external factor that stimulates desire and energy in individuals to be continually interested and committed to a job, role, or subject, or to make an effort to attain a goal.

Behavior

Observable actions or reactions of an individual or system, often analyzed in psychology to infer motives or psychological states.

Generator

A machine or device that converts mechanical energy into electrical energy for use in an external circuit.