Under the Recent Amendments to Article 4,postdated Checks

question 58

Multiple Choice

Under the recent amendments to Article 4,postdated checks:

• A)are now invalid and create no obligation to pay on the drawee bank's part.
• B)are not properly payable by the drawee bank until the date on the check.
• C)may be paid by the drawee bank before the date on the check unless the customer has given notice to the contrary.
• D)may be paid by the drawee bank unless the customer gives notice of the postdating in a way that at least partially describes the check.

---

Definitions:

Keynesians

Economists who follow the theories of John Maynard Keynes, emphasizing the role of government intervention and fiscal policy in managing economic cycles.

Monetarists

Economists who suggest that fluctuations in the money supply are key in affecting national output in the short term and in determining the price level over an extended term.

Crowding-Out Effect

The phenomenon where increased government spending leads to a reduction in private sector spending and investment due to higher interest rates or other factors.

Government Spending

The total amount of public expenditure by a government, including spending on defense, education, public infrastructure, and welfare programs.