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Describe the relationship between the Great Recession of 2008-2009 and the Paradox of Thrift.
Risk Preference
An individual's or entity's willingness to tolerate risk or uncertainty in investment or economic decisions.
Opportunity Cost
The cost of foregoing the next best alternative when making a decision.
After Tax Profits
The net income a company retains after all its tax obligations have been settled.
Expected Cost
The forecasted cost of an action or decision, taking into account all known risks and uncertainties.
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