If the Stock Market Crashes,then

question 56

Multiple Choice

If the stock market crashes,then

• A)aggregate demand decreases,which the Fed could offset by purchasing bonds.
• B)aggregate demand decreases,which the Fed could offset by selling bonds.
• C)aggregate demand increases,which the Fed could offset by selling bonds.
• D)aggregate demand increases,which the Fed could offset by purchasing the money supply.

---

Definitions:

Text Messaging

The act of composing and sending brief electronic messages between two or more mobile devices or fixed or portable devices over a phone network.

Hand-Held Cellular

A portable device, often referred to as a mobile phone or smartphone, used for communication.

Cocktail Party Phenomenon

The capacity to concentrate one's listening efforts on a specific sound while ignoring other surrounding noises.

Posner Effect

A phenomenon in cognitive psychology indicating that attention can be directed to a location without the need for the eyes to move.