When Stock Prices Fall

question 41

Multiple Choice

When stock prices fall

• A)an individual's wealth is not affected nor is their willingness to spend.
• B)a business firm will be more likely to sell stock to finance investment spending.
• C)an individual's wealth may decrease but their willingness to spend is not affected.
• D)an individual's wealth may decrease and their willingness to spend may decrease.

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Definitions:

Depression

A mental disorder characterized by persistent sadness, lack of interest in activities, and decreased energy, affecting daily functioning.

Mania

A mental health disorder marked by periods of great excitement, euphoria, delusions, and overactivity, often found in bipolar disorder.

Oxygen Deprivation

A condition also known as hypoxia, occurring when there is not enough oxygen for the body's needs, which can lead to various health issues including brain damage.

Schizophrenia

A mental health condition marked by disturbances in thinking, sensing, emotional regulation, and social behavior.