Which of the Following Statements Is False

question 19

Multiple Choice

Which of the following statements is false?

• A) Not all economists are agreed as to whether government should bail out companies in financial trouble.
• B) Not all economists prefer a rule-based monetary policy to discretionary monetary policy.
• C) Rule-based monetary policy advocates often assert that discretionary monetary policy can be motivated by politics.
• D) The tax multiplier is always larger than the government spending multiplier.

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Definitions:

Deferred Annuity

An insurance contract that delays payments of income, installments or a lump sum until the investor elects to receive them.

Permanent Pension

A pension that is paid throughout the lifetime of the beneficiary, often until death.

Compounded Monthly

Interest calculation method where interest is added to the principal on a monthly basis, leading to interest on interest in subsequent months.

Monthly Investments

Regular investments made on a monthly basis, often part of a savings or investment strategy.