Situations in which firms expect one thing to happen but then something else happens are called:
A) Recessions
B) Shocks
C) Business cycles
D) Fluctuations

Question

Quizplus · Accepted Answer

"Shocks" refer to unexpected events that can disrupt or alter the expected outcome for firms. A recession is a general downturn in economic activity, not necessarily tied to a specific firm's expectations. Business cycles refer to the overall long-term pattern of expansion and contraction in an economy, while fluctuations can refer to short-term changes in economic activity.

Situations in Which Firms Expect One Thing to Happen but Then