For the Three Years After a Severe Economic Shock Such

question 42

Multiple Choice

For the three years after a severe economic shock such as that caused by a hurricane, typically:

• A) nations enjoy higher consumption.
• B) creditors become impatient for debtors to begin their payback.
• C) investment rises and saving falls; the current account deficit rises, financed by financial inflows.
• D) domestic financial markets are able to handle the situation without a decrease in consumption.

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Definitions:

Skinner Box

An experimental apparatus used to study animal behavior, particularly operant conditioning, by isolating the subject and controlling rewards and punishments.

Operant Conditioning

An approach to learning in which the vigor of a behavior is influenced by positive or negative stimuli.

Cognitive Learning

A type of learning that involves the mental processes of acquiring knowledge and comprehension, including thinking, knowing, remembering, judging, and problem-solving.

Vicarious Learning

The process of learning behaviors or forming attitudes based on observing the actions of others and the consequences of those actions.