What Brought an End to Decades of Prosperity in 1973

question 21

Multiple Choice

What brought an end to decades of prosperity in 1973?

• A)the Soviet invasion of Hungary,which created fears of a European war
• B)the United States' decision to end the Marshall Plan
• C)a communist government that took power in the United Kingdom
• D)an oil embargo instituted by Middle Eastern nations
• E)the savings and loan crisis that caused stock markets to crash

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Definitions:

Competitive Industry

An industry characterized by multiple firms competing with each other by offering similar products or services, aiming to attract consumers and gain market share.

Perfect Competition

A market structure characterized by a complete absence of rivalry among the sellers and perfect information among buyers and sellers.

Short Run

A period in economic analysis where at least one input (such as plant size) is fixed and cannot be changed.

Equilibrium Price

The market price at which the quantity of goods supplied equals the quantity of goods demanded.