during periods of economic growth, individuals might: a. focus on saving rather than spending b. reduce…

during periods of economic growth, individuals might: a. focus on saving rather than spending b. reduce their investments c. invest more in the stock market d. cut back on spending which of the following is most likely to occur in a period of economic contraction? a. lower unemployment b. increased stock market prices c. higher inflation d. decreased gdp

during periods of economic growth, individuals might: a. focus on saving rather than spending b. reduce their investments c. invest more in the stock market d. cut back on spending which of the following is most likely to occur in a period of economic contraction? a. lower unemployment b. increased stock market prices c. higher inflation d. decreased gdp

Answer

Brief Explanations:

During economic growth, people are more optimistic about the economy and may invest more in the stock - market as they expect higher returns. In an economic contraction, economic activity slows down, leading to a decrease in GDP. Lower unemployment, increased stock market prices, and higher inflation are not typical of economic contraction.

Answer:

  1. c. Invest more in the stock market
  2. d. Decreased GDP