Relatively Rapid U

question 303

Multiple Choice

Relatively rapid U.S. growth between 2002 and 2007 contributed to large U.S. trade deficits by

• A) increasing U.S. national income, which decreased U.S. exports.
• B) reducing real interest rates in the United States.
• C) increasing U.S. tax revenues and reducing the federal budget deficit.
• D) increasing U.S. national income, which increased U.S. imports.

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Definitions:

Consolidation Plan

A strategy for combining two or more companies into a single entity to achieve operational efficiencies or market benefits.

Boards of Directors

A group of individuals elected to represent shareholders and oversee the activities and direction of a company or organization.

Merging Company

A company involved in a merger, where two or more companies combine to form a new entity or one is absorbed into another.

Hostile Takeovers

A strategy where a company or investor attempts to gain control of another company without the consent of the target company's management.