The Economy in 2008

question 76

Multiple Choice

The Economy in 2008
In the first half of June 2008 the effects of a housing and financial crisis and an increase in world prices of oil and foodstuffs were affecting the economy.
-Refer to The Economy in 2008.In the short run the increased prices of world commodities

• A)raised both the price level and output.
• B)raised the price level and reduced output.
• C)reduced the price level and raised output.
• D)reduced both the price level and output.

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Definitions:

Mollusca

A large phylum of invertebrate animals that includes snails, slugs, mussels, and octopuses, characterized by a soft body that in many species is enclosed by a hard shell.

Clams

Aquatic mollusks with a shell that is divided into two parts, known for living buried in sand or mud and being a source of food for various predators, including humans.

Octopuses

Cephalopod mollusks with eight arms, known for their intelligence, ability to change color, and escape skills.

Earthworms

Terrestrial invertebrates that play a key role in soil aeration and nutrient recycling through their burrowing actions.