What does research indicate about the effect volatility of stock-price averages on the stability of the macro?

Question by Manny: What does research indicate about the effect volatility of stock-price averages on the stability of the macro?
A. The wealth effects of stock price changes are a major cause of macroeconomic instability; the investment effects are not a major cause of instability B. The investment effects of stock price changes are a major cause of instability, but the wealth effects are not a major cause of instability C. Both the wealth and investment effects of stock price changes are a major cause of instability in the macroeconomy D. Neither the wealth nor the investment effects of stock price changes are a major cause of macroeconomic instability

Best answer:

Answer by I didn’t do it!
D.

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