Answer:
B. The supply of automobiles will increase because consumers will buy more of them at lower prices.
Economic euphoria in the United States began in the early 1920s, where large companies began to invest in bonds on the stock market. The economy showed an infinite sea of possibilities. Exaggerated consumption, high profits and the whole culture of the American Way of Life. A whole culture built on the pillars of market and consumption.
However, from this growth was projected that crisis that is considered as the largest that Capitalism has ever faced. A systemic crisis, where the hitherto winning capitalist model decays. The economy that largely revolved around stock market speculation, and therefore artificial, thus found its limit and breaks at the time of the "New York Stock Exchange" on October 24, 1929.
The main factors leading to the crash were the result of the economic euphoria itself. The increase in consumption caused industries to increase their production as well, however at some point there was no longer a market for such a large production which caused countless industries to fail because they could not sell their productions.
Another factor of the great crisis was agricultural overproduction. The agricultural market as well as the industries, accompanying the growth of consumption began to produce more than the market could absorb. Mainly wheat production was affected by the downturn in the market.
The 8th Stage known as Integrity Vs Despair of Erikson's stages of Psychological development is being addressed here.
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Ego psychologist, Erik Erikson coined the theory of psychological development. His theory iterated that our personality is developed at certain stages of an individual. The social experiences an individual has throughout his life contribute to the growth of an individual. The theory proposed 8 stages of psychological development.
Anne is in the 8th stage of psychological development. It is the last stage and concentrates on individuals who are in their old age. In this stage, individuals reflect on the life that they have lived, the decisions they have made, their outcomes and how all of it has turned out for them in the end. One of two types of feelings will be present at the end of overall recollection of the life. People who realize that they have regrets about things they have done or not done will feel despair. As for the others who are content with what they have done and achieved in their lives will feel a sense of integrity.
Firms often have the option to reduce the scale of operations at some point in the future, which is known as an abandonment option.
An investment contract's abandonment option is a provision that gives parties the opportunity to end the agreement before it matures.
It offers value by allowing the parties to cancel the commitment if circumstances change and the investment becomes unprofitable.
The ability of management to determine whether or not to finish that project is actually what is meant by an abandonment option.
One of the four different real options (options on tangible assets) that can be added to investment projects like gold mines, airplanes, cargo ships, heavy equipment, and so forth is an abandonment option.
In bilateral agreements without a predetermined expiration date, abandonment options are frequently employed.
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