What Is Generally True of Consumers in a Recession

question 38

Multiple Choice

What is generally true of consumers in a recession?

• A) Everyone suffers and cuts back on spending.
• B) Rhe rich suffer as the poor cut back on spending.
• C) Many reallocate spending and buy less on credit cards.
• D) Everyone cuts back on spending, but only the low-income consumer segments suffer.

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Definitions:

Light

Electromagnetic radiation that is visible to the human eye and is responsible for the sense of sight.

Heat

A form of energy transferred between objects or systems due to a temperature difference, often perceived as warmth.

Argument By Analogy

making an argument based on the similarity between two situations or cases, suggesting that what applies to one should apply to the other.

Similarity

The state or fact of being similar; resemblance or likeness between persons, things, or ideas.