Asked by Marvelous Abraham on Apr 29, 2024

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Which of these factors can explain the short recession experienced by the U.S.in 2001?

A) Terrorist attacks
B) The stock market crash
C) Bursting of the real estate bubble
D) A rise in international oil prices
E) Expenditure on war

Short Recession

A brief period of economic decline during which trade and industrial activity are reduced, generally identified by a decline in GDP in successive quarters.

Real Estate Bubble

A real estate bubble is a situation in which property prices rapidly inflate beyond fundamental valuations, typically followed by a sharp decline.

Stock Market Crash

A rapid and often unanticipated decline in stock prices across a significant cross-section of a stock market, leading to a loss of paper wealth.

  • Become familiar with the factors contributing to and resulting from major economic downturns and financial crises.
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MK
MAMADOU KANYIMay 06, 2024
Final Answer :
A
Explanation :
The terrorist attacks on September 11, 2001, led to a decrease in consumer and investor confidence, fiscal policy changes, and increased risk in the economy, all contributing to the short recession experienced by the U.S.