Question

how did the 1979 oil shock affect the us economy?
it caused inflation to rise and the economy to slow.
it slowed inflation and the economy grew.
it helped american businesses to grow.
it lowered oil prices greatly over time.
done

Explanation:

The 1979 oil shock involved a sharp rise in global oil prices due to supply disruptions. Higher oil prices increased production and transportation costs across the US economy, pushing overall inflation upward. At the same time, the increased costs reduced consumer and business spending power, leading to a slowdown in economic growth (stagflation). The other options are incorrect: the shock raised, not slowed, inflation; it harmed most businesses, not helped them grow; and it raised, not lowered, oil prices.

Answer:

A. It caused inflation to rise and the economy to slow.