A Small-Scale Consulting Firm in Hawaii Was Struggling Financially Because

question 135

Multiple Choice

A small-scale consulting firm in Hawaii was struggling financially because it was unable to generate enough capital to run its business transactions. To generate capital, the firm decided to use web technologies and digital resources to build long-term associations with current customers and to reach out to new customers. In this scenario, the firm is using concepts that primarily originated in the _____ of American business history.

• A) entrepreneurship era
• B) relationship era
• C) production era
• D) industrial era

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Definitions:

Policy Lags

The delay between the identification of a need for economic policy intervention and the actual effect of the policy on the economy.

Stabilization Policies

Government strategies aimed at maintaining economic stability by reducing inflation and unemployment.

Political Business Cycle

The concept that elected officials may induce expansions of the economy before elections to improve their chances of re-election.

Central Bank

The primary monetary authority of a country, which manages the nation's currency, money supply, and interest rates.