Which of the Following Would Cause a Recession

question 97

Multiple Choice

Which of the following would cause a recession?

• A) The aggregate demand curve shifts leftward.
• B) The short-run aggregate supply curve shifts rightward.
• C) The aggregate demand curve shifts rightward.
• D) The long-run aggregate supply curve shifts leftward.

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Definitions:

Accumulated Depreciation

The total amount of depreciation expense that has been recorded for an asset since it was put into use.

Long-term Investments

Investments made with the intention of holding the asset for an extended period, typically exceeding one year, such as stocks, bonds, or real estate.

Net Income

The total profit of a company after all expenses, including taxes and costs, have been deducted from total revenue.

Dividends

Payments made by a corporation to its shareholders, usually as a distribution of profits.