Although the Argument Is Weak, Sterilization Under a Pegged System

question 57

Multiple Choice

Although the argument is weak, sterilization under a pegged system could benefit the economy by:

• A) replacing outstanding debt (denominated in the domestic currency) with currency, thus reducing privately held debt.
• B) reducing interest rates and stimulating the economy.
• C) holding down the level of government borrowing.
• D) providing funds for worker training and technology upgrades.

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Definitions:

Unconditioned Stimulus

A stimulus that naturally and automatically triggers a response without prior learning.

Feeling Happy

A state of well-being and contentment, characterized by positive emotions ranging from contentment to intense joy.

Ring Tone

A sound made by a telephone to indicate an incoming call or text message.

Neutral Stimulus

A stimulus that initially produces no specific response other than focusing attention before conditioning.