For Years the Trend in Sales of Disposable Diapers Moved

question 108

Multiple Choice

For years the trend in sales of disposable diapers moved closely with the number of new births. However, as the number of women in the work force increased and as more women returned to jobs after babies were born, use of disposable diapers rapidly increased. This is an example of

• A) the limitations of using the factor method.
• B) estimating the target market potential.
• C) a weakness of the trend extension method.
• D) all of the above.
• E) none of the above.

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Definitions:

Budget Deficit

The financial situation where a government's expenditures exceed its revenues within a specific period, leading to borrowing or debt accumulation.

Tax Revenues

Represents the income that is gained by governments through taxation.

Recession

A phase of short-term economic downturn marked by diminished trade and manufacturing activities, usually recognized by a decrease in GDP for two consecutive quarters.

Automatic Stabilizers

Economic measures and initiatives, like taxation and unemployment insurance, that naturally adapt to mitigate the effects of economic changes without direct action from the government.