If Business Firms Are More Optimistic During the Expansion Phase

question 70

Multiple Choice

If business firms are more optimistic during the expansion phase of the business cycle,they

• A)raise their expected rates of return on projects and investment increases.
• B)lower their expected rates of return on projects and investment increases.
• C)raise their expected rates of return on projects and investment decreases.
• D)lower their prices and increase investment.

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Definitions:

Women's Suffrage

The right of women to vote in elections; a major goal of the women's rights movement in many countries during the late 19th and early 20th centuries.

Alcoholism

A chronic disease characterized by uncontrolled drinking and preoccupation with alcohol, where alcohol use becomes prioritized over all other activities and may result in health, legal, and social problems.

Self-Control

The ability to regulate one's emotions, thoughts, and behavior in the face of temptations and impulses.

New Harmony

A historic town in Indiana known for two notable but ultimately unsuccessful attempts at utopian communal living in the early 19th century, the first led by George Rapp and the second by Robert Owen.