Solved

Recall the Application About Energy Price Uncertainty and Its Impact

Question 11

Multiple Choice

Recall the Application about energy price uncertainty and its impact on investment spending and GDP growth to answer the following question(s) . Increases in oil prices can lead to a drop in GDP. However, uncertainty about oil prices is also an important factor. The volatility of oil prices creates uncertainty for firms making investment decisions, and adversely affects GDP growth.
-This application addresses the idea that


A) financial intermediaries facilitate investment spending.
B) government spending is needed to pull an economy out of a recession.
C) investment spending is the least stable component of GDP.
D) consumer spending is the most stable component of GDP.

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions

Unlock this Answer For Free Now!

View this answer and more for free by performing one of the following actions

qr-code

Scan the QR code to install the App and get 2 free unlocks

upload documents

Unlock quizzes for free by uploading documents