Asked by Cindy Vuong on May 21, 2024

verifed

Verified

Comparing the recession of 2000-2001 with the great recession of 2006-2009,the decline in private domestic investment was:

A) about the same.
B) twice as great.
C) three times as great.
D) five times as great.

Recession

A provisional downturn in economic conditions, involving a downturn in professional and industrial engagements, typically marked by a sequential GDP fall in two quarters.

Private Domestic Investment

Expenditures by private (non-government) entities on domestic capital goods, including constructions and equipment, to produce goods and services in the future.

Great Recession

A significant decline in economic activity across the globe that occurred between 2007 and 2009, widely considered the largest downturn since the Great Depression.

  • Examine the effects of economic cycles on investment levels.
verifed

Verified Answer

PS
Projesh Sarker 181-11-5768May 24, 2024
Final Answer :
B
Explanation :
The decline in private domestic investment during the great recession of 2006-2009 was approximately twice as great as the decline during the 2000-2001 recession.