The US Economy Moved Closer to Deflation at the End of of 2008;

question 32

True/False

The U.S. economy moved closer to deflation at the end of 2008; this was the first time in 40 years that deflation seemed a possibility.

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Definitions:

Covariance

A statistical measure that indicates the extent to which two variables change together, signaling the direction of their linear relationship.

Investments

The process of distributing funds with the aim of earning returns or profits.

Positive

A term usually referring to values greater than zero, or a positive attitude or outcome in a broad sense.

Expected Value

The weighted average of all possible values of a random variable, with the weights being the probabilities of the outcomes.