The amount of liquid assets held by non-financial corporations has almost doubled over the past five years. The increase in assets relative to debt is in sharp contrast to the late 1990s, when companies raised large amounts of debt to fund capital investments and acquisitions. The reluc- tance of companies today to spend, despite the fact that they hold large amounts of cash, shows that they are unwilling to make the mistake again of over-investment leading to production greater than demand. Telecommunications and high-technology companies were among the big spenders then and they suffered its effects more than most; they are now the most thrifty. Drug companies also want to keep cash at hand in order to fund expensive lawsuits should they arise. Other sectors with large workforces are having to hoard cash because they face large pension shortfalls.

Question: In the late 1990s, capital spending in the telecommunications and high-technology sectors led to production outstripping supply.
Options:
A. true, B. false, C. uncertain
Answer: "A"