The "Tech Bubble" Burst of 2000,the Terrorist Attacks of 2001

question 68

Multiple Choice

The "tech bubble" burst of 2000,the terrorist attacks of 2001 and the corporate scandals of 2001 and 2002 all had similar qualitative effects on the economy.Which of the following is an appropriate description of the mechanism that would have ensued?

• A)Household and business spending would have been eroded shifting the AD curve to the left.
• B)Unemployment would have risen and inflation would have fallen.
• C)Output would have declined below potential but through shifts in the AS curve,the self-correcting mechanism of the AD-AS framework would have brought the unemployment rate down to the lower levels we saw by 2004.
• D)all of the above
• E)none of the above

Analyze the implications of labor rate and efficiency variances on production costs.

Apply overhead budgeting techniques to service and manufacturing sectors.

Examine the factors influencing variances and the strategic responses to these variances.

Understand the basic components and functions of information systems.

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Definitions:

U.S. Presidents

Individuals who have held the office of the President of the United States, serving as the head of state and government.

Longitudinal Study

A research design that involves repeated observations of the same variables (e.g., people) over short or long periods of time, often many years.

Correlational Study

A research method that examines the extent to which two variables are related, without inferring a cause-and-effect relationship between them.

Random Assignment

A method used in experiments to place participants into different groups in a way that each participant has an equal chance of being in any group, minimizing biases.