Macroeconomic Policy Activism

question 211

Multiple Choice

Macroeconomic policy activism:

• A) is the use of monetary and fiscal policy to smooth out the business cycle.
• B) is the primary theory of classical economics.
• C) gives the Federal Reserve the sole responsibility for economic policy.
• D) advocates that all of the people in a democracy should decide what type of economic policy is appropriate.

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Definitions:

Apparent Authority

The situation in which an agent's actions lead a third party to reasonably believe that the agent has the authority to act on behalf of the principal.

Wholesale Jeweler

A wholesale jeweler is a business entity that sells jewelry in large quantities, usually to retailers rather than directly to the public.

Retail Jewelry Store

A business establishment that specializes in selling jewelry and related accessories directly to consumers.

Personally Bound

Being legally obligated on an individual basis, usually in terms of contractual or financial responsibilities.