A Consequence of World War I Was

question 31

Multiple Choice

A consequence of World War I was:

• A)the consolidation of European empires.
• B)the rapid decolonization of areas of the British and French empires.
• C)deflation in the largest European economies.
• D)a successful communist revolution in Russia.

---

Definitions:

Automatic Stabilizers

Economic policies and programs, such as unemployment insurance and taxation, that automatically help stabilize an economy by increasing or decreasing with the economic cycle.

Annually Budgeted

Annually budgeted refers to the process of allocating financial resources and planning expenditures for a year ahead.

Expansionary Gap

A situation where the actual economic output exceeds the potential output significantly, often leading to inflation.

Cyclically Balanced

A term that might not be widely recognized in standard economic literature; if intended to mean maintaining balance over economic cycles, it could refer to the aim of achieving economic stability across different phases of economic cycles.