If the Fed Wanted to Institute a More Expansionary Monetary

question 190

Multiple Choice

If the Fed wanted to institute a more expansionary monetary policy, which of the following would it be most likely to do?

• A) reduce taxes
• B) increase government expenditures
• C) buy government bonds from the public
• D) raise the discount rate

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Definitions:

Webster v. Blue Ship Tea Room, Inc.

A legal case from Massachusetts in 1964 that centered around what constituted a "fish chowder," illustrating how courts interpret contractual obligations and representations in business.

Implied Warranty of Merchantability

An implicit guarantee that a product will meet a minimum level of quality and functionality as expected for goods of its kind.

Implied Warranty of Fitness

An assurance, not explicitly stated, that a product will meet a buyer's needs for a particular purpose.

Express Warranty

An explicit promise made by a seller regarding the quality, condition, or performance of the goods being sold.