All of the Following Are Likely Results of a Negative

question 81

Multiple Choice

All of the following are likely results of a negative demand shock EXCEPT

• A) a negative output gap.
• B) lower inflation.
• C) the IS curve shifts to the left.
• D) the Phillips curve shifts to the left.

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Definitions:

Annual Dividend

Annual Dividend is the total amount of dividends that a company pays out to its shareholders over the course of a year.

Required Return

The expected yield that an investor demands for committing capital to an investment.

Required Return

The minimum return that investors expect from an investment considering the risk involved.