Transactional Leadership

question 55

Multiple Choice

Transactional leadership:

• A)damages the trust relationship in an organization.
• B)provides a solid foundation for the employee-manager relationship.
• C)is only appropriate for seasoned,professional employees.
• D)grows on the foundation of transformational leadership.
• E)engages the full person of the leader and the follower.

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Definitions:

Closed Economy

An economic system that does not engage in international trade with outside countries and relies wholly on its own resources.

Loanable Funds

The funds available for borrowing in the financial markets, consisting of savings and sometimes bank loans that are available to be lent to businesses and individuals.

Interest Rate

The rate at which borrowers are charged for accessing assets, specified as a percentage of the original sum borrowed.

Desired Saving

The portion of income that households choose to save rather than spend on consumption.