Asked by Emily Ratliff on May 06, 2024
Verified
If all firms expect greater demand for their products or services,they will hire _____ resources like labor and capital and the economy will experience _____.
A) fewer;recession
B) fewer;growth
C) more;deflation
D) more;recession
E) more;growth
Demand
The quantity of a good or service that consumers are willing and able to purchase at various prices during a given period.
Recession
A period of temporary economic decline during which trade and industrial activity are reduced, generally identified by a fall in GDP in two successive quarters.
Deflation
A sustained decrease in the price level.
- Comprehend the dynamics of economic growth, including factors contributing to and hindering it.
Verified Answer
AA
Anjali AgrawalMay 13, 2024
Final Answer :
E
Explanation :
If firms expect greater demand, they will begin to hire more resources like labor and capital to meet that demand. This increase in hiring will lead to economic growth as more people are employed and spending money, which in turn stimulates businesses and the overall economy.
Learning Objectives
- Comprehend the dynamics of economic growth, including factors contributing to and hindering it.
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