A Firm Is Said to Be Countercyclical If Its Returns

question 72

Multiple Choice

A firm is said to be countercyclical if its returns:

• A) continue to decrease, year after year.
• B) continue to increase, year after year.
• C) are better when most firms do poorly.
• D) are negative in real terms.

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Definitions:

Exxon Valdez

An oil tanker whose 1989 spill off the coast of Alaska is considered one of the worst environmental disasters, resulting in massive oil pollution.

Nitrogen

Nitrogen is a chemical element with the symbol N and atomic number 7, making up about 78% of the Earth’s atmosphere and essential for all living organisms.

Flint, Michigan

A city in the United States known for its industrial history and a water crisis that exposed residents to lead-contaminated water.

City Life

The characteristics and daily experiences of living in densely populated urban areas, including the social, cultural, and economic facets.