Consumer Loans Appear to Have Virtually No Sensitivity to the Business

question 31

True/False

Consumer loans appear to have virtually no sensitivity to the business cycle,staying relatively stable through both recessions and expansions.

---

Definitions:

Specialty Product

Goods or services that are characterized by a unique quality, brand, or characteristic that drives consumers to make a special effort to purchase them.

Discretionary Product

A non-essential good or service purchased with disposable income, often subject to personal tastes and economic conditions.

Shopping Product

Goods that a consumer, in the process of selection and purchase, characteristically compares on such bases as suitability, quality, price, and style.

Convenience Product

A consumer item that is widely available and purchased frequently with minimal effort.