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Figure 17.26 depicts the US aggregate demand between 2006 Q2 and 2010 Q4. Based on this information, which of the following s

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Answer #1

Answer is option A)

D is false, bcoz household Consumption did promptly recover, but not the residential investment

C is false, only Government consumption was supporting , bcoz investment was negative in recession

B is false, fall in residential investment was one of the most important reason of financial crisis, but not the sole reason

A is true, bcoz in recession, C, I( residential & non residential investment) was negative

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