Which of the Following Is a Negative Real Shock That

question 97

Multiple Choice

Which of the following is a negative real shock that occurred during the Great Depression?

• A) The Smoot-Hawley tariffs led to a decrease in net exports.
• B) Bank failures led to a decrease in the money supply.
• C) Widespread bank failures led to a reduction in the productivity of financial intermediation.
• D) A stock market crash decreased consumer wealth.

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Definitions:

Lines

Straight one-dimensional figures extending infinitely in both directions, characterized by minimal length but no breadth or width.

Slope Formula

The slope formula, \(m = (y_2 - y_1) / (x_2 - x_1)\), calculates the steepness, incline, or grade of a linear equation's graph.

Slope

A measure of the steepness or incline of a line, calculated as the ratio of the vertical change to the horizontal change between two points on the line.

Indicated Pairs

Pairs of elements or items that are specified or identified in a particular context or problem.