Question

Which of these events would most likely cause a recession?

A The price of gasoline rises by ten percent.

B Political leaders pass large spending cuts.

C Many people find new jobs at the same time.

D The value of total net exports rises unexpectedly.

Answer 1

[AI-generated answer — Bot GPT 3.5]

B Political leaders pass large spending cuts.

When governments pass large spending cuts, it can result in decreased government spending, reduced consumer confidence, and slower economic growth, ultimately leading to a recession.