During a recession

Question

During a recession

Quizplus · Accepted Answer

During a recession, businesses may have lower profits, which leads to a decrease in investment. Option A is incorrect because during a recession, people tend to spend less, resulting in a decrease in consumption. Option C is incorrect because during a recession, there is generally a decrease in demand for goods, which often results in a decrease in exports. Option D is incorrect because during a recession, there is generally a decrease in demand for goods, which often leads to a decrease in imports.

During a Recession