All of the Following Statements Are Correct EXCEPT

question 32

Multiple Choice

All of the following statements are correct EXCEPT:

• A)Economies grow steadily over time.
• B)There are unemployed people even during expansions.
• C)Unemployment increases during recessions.
• D)A trade surplus exists when a country exports more than it imports.

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Definitions:

Ex-Dividend Date

The cutoff date after which new buyers of a stock will not be entitled to receive the next declared dividend.

Shareholders

Individuals or entities that legally own one or more shares of stock in a joint-stock company.

Cash Dividend

A payment made by a company out of its earnings to its shareholders, usually in the form of cash.

Information Content Effect

Refers to how a company's stock price reacts to the announcement of financial information, indicating the market's response based on the news' perceived value.