Proponents of the Notion of a "Political Business Cycle" Suggest

question 78

Multiple Choice

Proponents of the notion of a "political business cycle" suggest that:

• A) The standardized budget is a better indicator of the state of the economy than the actual budget, for political reasons
• B) Cyclical swings in the economy are produced by the inherent political instability found in capitalist economies
• C) A possible cause of economic fluctuations is the use of fiscal policy by policy-makers for political purposes and goals
• D) There is constant political trading among policy-makers that tends to make the economic policies of state and local governments procyclical

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Definitions:

Imminent Battery

A situation where an immediate act of harmful or offensive contact is about to occur, justifying self-defense measures.

Apprehension

The fear or anticipation, especially of a future problem or trouble; in law, it can also refer to the arrest of a person.

Assault

An intentional act that creates a reasonable apprehension of imminent harmful or offensive contact.

Liability

Legal responsibility or obligation to another party, usually in terms of damages or debts.