Which Event Was Most Important in Promoting the Belief That

question 358

Multiple Choice

Which event was most important in promoting the belief that the U.S. government should work to ensure economy-wide stability?

• A) World War II
• B) The Civil Rights Movement
• C) The California Gold Rush
• D) The Great Depression

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Definitions:

Adverse Selection

A situation where asymmetric information results in high-risk individuals being more likely to participate in agreements or contracts, to the detriment of one party.

Moral Hazard

The situation where one party is more likely to take risks because another party bears the consequences.

Incentives

Rewards or penalties that motivate individuals or entities to act in certain ways.

Hazardous Jobs

Occupations that pose significant risks of injury, illness, or death as a result of the work environment or tasks involved.