Which of the Following Would Lead to Lower Inflation in the Long

question 88

Multiple Choice

Which of the following would lead to lower inflation in the long run?

• A)An increase in business confidence
• B)An increase in government spending
• C)An increase in oil prices
• D)A decrease in imports
• E)A decrease in consumer confidence

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Definitions:

Stock Splits

A corporate action in which a company divides its existing stock into multiple shares to increase the liquidity of the shares, though the market capitalization remains the same.

Shareholder's Wealth

Shareholder's Wealth is the sum total of the capital value of a company's shares plus any retained earnings or losses. It represents the shareholders' stake in the company.

Stock Split

A corporate action in which a company divides its existing shares into multiple shares to boost the liquidity of the shares, although the overall value of one's holdings remains the same.

Shareholder's Wealth

The overall value that shareholders earn from their investment in a company, including dividends received and capital gains from share price appreciation.