Proponents of the View That a Fundamental Change in the Economy

question 19

Multiple Choice

Proponents of the view that a fundamental change in the economy occurred in the late 1990s cite as evidence all of the following except:

• A)heavy investment in information capital
• B)the fast pace of technological progress and efficiency
• C)the procyclical nature of productivity growth
• D)increased spending on capital other than information capital contributed little to the acceleration in productivity

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Definitions:

Great Depression

A severe worldwide economic downturn that took place during the 1930s, leading to high unemployment, deflation, and a significant drop in global trade and investment.

Economic Crises

Periods characterized by severe disruptions in the financial and economic stability of a country or globally, often marked by high unemployment and insolvency among key industries.

Neutrality Acts

A series of laws passed in the 1930s by the United States Congress aimed at keeping the nation out of future conflicts, by limiting its involvement in foreign wars and prohibiting arms sales to belligerents.

Belligerents

Parties engaged in conflict or warfare, whether nations, groups, or individuals, characterized by active hostility.