Which of the Following Happens During Recessions

question 201

Multiple Choice

Which of the following happens during recessions?

• A) Firms produce less but invest more.
• B) Firms have to increase production because of falling prices.
• C) Incomes increase because workers have to work overtime.
• D) Unemployment rates increase.

---

Definitions:

Moral Liberty

The freedom to act in accordance with one's ethical beliefs and conscience, often discussed in philosophical and religious contexts.

Puritan

Members of a group of English Protestants in the 16th and 17th centuries who sought to "purify" the Church of England from its "Catholic" practices.

Puritan Leaders

Influential individuals within the Puritan community, who were part of a religious reform movement seeking to "purify" the Church of England in the 16th and 17th centuries.

Indians

Indigenous peoples of the Americas, also known as Native Americans, with diverse cultures, languages, and histories pre-dating European colonization.