Which of the Following Events Would Be Described as Having

question 35

Multiple Choice

Which of the following events would be described as having a generational effect?

• A) WWI
• B) the Great Depression
• C) the Great Recession
• D) the terrorist attacks of 9/11
• E) All of these answers are correct.

---

Definitions:

Ricardian Trade Theory

An economic theory that suggests international trade is driven by comparative advantage, leading countries to specialize in the production of goods they can produce most efficiently.

International Product Life Cycle

A theory that suggests that the level of trade in a product at any given time is a function of the current stage in the product’s life cycle, in which the life cycle consists of introduction, maturity, standardization, and decline.

Introduction Stage

The initial phase in the life cycle of a product or service where it is first launched into the market, characterized by promotional activity and gradual growth in sales.

Capital Intensity

The amount of fixed or real capital present in relation to other factors of production, especially labor.