Leveraging
A)is the degree to which spending units rely on borrowed funds.
B)declines of the course of an economic expansion or recovery.
C)causes problems for the economy only if there is not enough.
D)is higher for hedge units than Ponzi units.

Question

Quizplus · Accepted Answer

Leveraging refers to the use of borrowed funds by spending units (such as individuals, companies, or governments) to finance their investments or operations. It is essentially the degree to which an entity relies on debt to fund its activities.