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_____ Argued That People React to the World as They

question 80

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_____ argued that people react to the world as they see it and not as how it is.This idea is central to the _____.


Definitions:

Precautionary Motive

A rationale for holding money or liquid assets to guard against future uncertainties and potential emergencies.

Recession

A significant decline in economic activity spread across the economy, lasting more than a few months, typically visible in real GDP, real income, employment, industrial production, and wholesale-retail sales.

Cash

Physical currency such as coins and banknotes or the equivalent in bank balances that can be immediately accessible.

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