Which of the Following Describes the Role of the Government

question 152

Multiple Choice

Which of the following describes the role of the government in a fixed exchange rate regime?

• A) establishing capital controls
• B) controlling budget deficits
• C) the buying and selling of currency by the central bank
• D) expanding the money supply

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Definitions:

Res Ipsa Loquitur

A legal doctrine meaning "the thing speaks for itself," used when the cause of an injury is obviously due to negligence.

Trial Court

A court in which most civil or criminal cases start when they first enter the legal system. The parties present evidence and call witnesses to testify. Trial courts are referred to as courts of common pleas or county courts in state court systems and as district courts in the federal system. Also called court of original jurisdiction and court of first instance.

Final Judgment

The last court ruling in a legal case that resolves the matters in dispute and determines the rights and obligations of the parties involved.

Federal Jurisdiction

The legal authority of the federal government to govern or legislate on certain issues and cases, as distinct from state jurisdiction.