The 2007-2009 Recession Was Caused By

question 56

Multiple Choice

The 2007-2009 recession was caused by:

• A) an increase in demand following a rapid increase in the money supply.
• B) a drop in aggregate supply caused by a slowdown in productivity growth.
• C) a decrease in supply caused by an increase in oil prices.
• D) a decrease in aggregate demand triggered by a financial crisis.

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Definitions:

Rate of Return

The appreciation or depreciation in an investment's value over a set period, articulated as a percentage of the investment's buying price.

EPS

Earnings Per Share, a financial ratio indicating the amount of profit attributable to each share of common stock.

Annual Dividends

Regular payments made by a company to its shareholders out of its profits or reserves on a yearly basis.

Rate of Return

The gain or loss on an investment over a specified time period, expressed as a percentage of the investment's cost.