In Order to Be Successful and Effective, a Democracy Relies

question 43

Multiple Choice

In order to be successful and effective, a democracy relies upon which of the following important assumptions?

• A) that political parties will always identify the best issues for government to address
• B) that citizens have the necessary information and skills to be able to understand political issues and provide informed input
• C) that citizens do not know what they want, therefore political parties are formed to structure the decisions for the voters
• D) that most citizens are incapable of making clear and rational choices in elections
• E) that only those citizens who are literate and have shown that they understand the issues should be allowed to vote

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Definitions:

Unexpected Decrease

A sudden and unforeseeable reduction in value, amount, or number, often affecting financial markets or specific assets.

Market Interest Rates

The prevailing rates at which borrowers and lenders execute lending transactions in the market. It reflects the cost of borrowing money in the financial markets.

Positive Covenant

An agreement in a loan contract that requires the borrower to perform specific actions.

Dividends

Shareholders receive payments from a corporation, typically sourced from its profits.