Which of the Following Actions Could Be Undertaken If the Government

question 117

Multiple Choice

Which of the following actions could be undertaken if the government wants to close a recessionary gap?

• A)Increase taxes and reduce government spending.
• B)Reduce taxes and increase government spending.
• C)Increase taxes and increase government spending.
• D)Reduce taxes and reduce government spending.

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Definitions:

Product Liability Action

Legal action taken against manufacturers, distributors, suppliers, or retailers for damages caused by defective products they sold or distributed.

Damaged After Purchase

Refers to goods or items that become defective or damaged after they have been bought by a consumer.

Strict Product Liability

A doctrine in tort law that makes manufacturers, distributors, or sellers liable for any defects in the products they market, irrespective of negligence.

Manufacturer

An individual or company that makes goods for sale using raw materials and parts, typically in a large-scale operation involving machinery.