The Classical Economists Believed That If the Quantity of Money

question 66

Multiple Choice

The classical economists believed that if the quantity of money doubled

• A)output would double.
• B)prices would fall.
• C)prices would double.
• D)prices would remain constant.

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Definitions:

Doctrine of Estoppel

A legal principle that prevents a party from denying or asserting anything to the contrary of what has previously been established as truth.

Expressly Bind

To explicitly or distinctly commit or obligate oneself or an entity to an agreement or course of action.

Unidentified Principal

Refers to a situation in agency law where an agent acts on behalf of a principal, but the identity of the principal is not disclosed to the third party.

Actual Authority

The express or implied power granted by a principal to its agent, allowing the agent to perform acts on the principal's behalf, which legally binds the principal with third parties.