Recessions Can Be Defined as I

question 34

Multiple Choice

Recessions can be defined as I. significant and widespread declines in real GDP and rising unemployment. II. significant and widespread declines in nominal GDP. III. a significant and widespread decline in economic activity with falling real GDP, falling unemployment, falling production, and falling sales.

• A) I only
• B) II only
• C) III only
• D) I and III only

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Definitions:

Portfolio

A collection of financial investments like stocks, bonds, commodities, cash, and cash equivalents, including closed-end funds and exchange traded funds (ETFs).

Financial Characteristics

Refers to attributes that describe the financial health, performance, and structure of a company, such as revenue, profitability, debt levels, and liquidity ratios.

Firm's Beta

A measurement of a company's stock market risk compared to the market as a whole; it quantifies the volatility or systemic risk of a firm's shares.

Industry Group

A classification of companies that conduct business activities in the same sector or segment of the economy.