Which of the Following Would Most Likely Move the Economy

question 128

Multiple Choice

Which of the following would most likely move the economy into a recession in the short term?

• A) invention of a new product that most consumers want to buy
• B) innovations in management that enhance worker productivity
• C) the central bank printing less money than was anticipated
• D) Congress passing a reduction in personal income tax rates

---

Definitions:

Financing Provided

Funds supplied to businesses or individuals for the purpose of investing, expansion, or operating expenses that are expected to be repaid in the future.

Retained Earnings

The segment of net profits that are not distributed as dividends, instead kept within the company for reinvestment in its main operations or for debt repayment.

Current Asset

A slightly different term for assets likely to be used or turned into cash within one fiscal year or operating cycle, emphasizing liquidity.

Land

An asset representing the earth's surface that a company owns, used for operations, development, or investment.