If the Government Does Not React to a Recession

question 154

Multiple Choice

If the government does not react to a recession:

• A) the economy will remain out of its long-run equilibrium indefinitely.
• B) the economy will recover, but much more slowly.
• C) voters and consumers are likely to be happy with less government interference.
• D) the government generally doesn't engage in any policy during a recession.

---

Definitions:

Atkinson-Shiffrin Model

A theory of human memory that was proposed in the 1960s, suggesting that memory consists of three main components: sensory memory, short-term memory, and long-term memory.

Maintenance Rehearsal

A cognitive process involving the repetitive review of information to keep it in short-term memory for extended periods.

Repeating Items

The act of presenting the same content or material multiple times to improve memory retention or emphasize importance.

Allan Baddeley

A cognitive psychologist best known for his work on the model of working memory.