Fewer of an Economy's Resources Will Be Channeled into Building

question 198

Multiple Choice

Fewer of an economy's resources will be channeled into building new factories and equipment when _____

• A) interest rates are high.
• B) households decide to spend more of their income.
• C) firms are optimistic about their future profits.
• D) aggregate income increases.
• E) an economy has a trade deficit.

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Definitions:

Socialization

The process by which individuals learn and adopt the norms, values, and behaviors appropriate to their society or social group.

Extended Family

A family structure that extends beyond the nuclear family, including grandparents, aunts, uncles, and other relatives.

Blended Family

A family consisting of a couple and their children from this and all previous relationships.

Scapegoat

An individual or group blamed for wrongs that they haven't committed, often as a way of deflecting blame from the responsible party.