(I)  Governments That Respect Property Rights and Freedom of Exchange While

question 47

Multiple Choice

(I)   Governments that respect property rights and freedom of exchange while following monetary (and fiscal) policies consistent with relative price stability, establish the foundation for economic growth.
(II)   Governments have often diminished the economic prospects of a nation by levying high taxes, instituting price controls, and following inflationary monetary policies.

• A) I is true; II is false.
• B) I is false; II is true.
• C) Both I and II are true.
• D) Both I and II are false.

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Definitions:

Adequacy Of Consideration

The principle that the value exchanged in a contract must be fair and reasonable to both parties involved.

Fraud

Intentional misleading to achieve illicit benefits or to cheat someone out of their rightful entitlement.

Big Five

A personality model that outlines five major traits used to describe human personality: openness, conscientiousness, extraversion, agreeableness, and neuroticism.

Extraversion

A personality trait characterized by sociability, talkativeness, assertiveness, and high levels of emotional expressiveness.