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1) In the "paradox of thrift:"

A) Firms that are pessimistic about the future lay off the most

saving-conscientious workers.

B)When families and businesses are feeling pessimistic about the future, they spend more.

C)Increased saving by individuals increases their chances of becoming unemployed.

D)Profligate (extravagant) behavior during economic tough times has large negative consequences for society.

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