A period of economic growth that follows the lowest point in a business cycle is called a(n) _____.A.peakB.contractionC.expansionD.trough

The phase of the business cycle with the highest level of GDP and the lowest unemployment rate is called a(n) _____.A.peakB.contractionC.troughD.expansion

In a business cycle, a contraction occurs when:A.the economy slows down following a period of growth.B.a period of economic decline reaches its lowest point.C.the economy begins to show growth in key economic indicators.D.a period of economic growth reaches its highest point.

A declining GDP and a rising unemployment rate are most likely indicators that an economy is in which phase of the business cycle?A.TroughB.PeakC.ExpansionD.Contraction

Choosing from the letters A = Recession; B = Expansion; C = Boom; D = Contraction, place the appropriate letter alongside each statement below to identify the phase of the business cycle described. The first one has been done for you. (a) Unemployment is at its highest level. A (g) Interest rates are falling. (b) Wages and salaries start to decrease. (h) High level of inflation. (c) Increasing consumer and business spending. (i) Consumer spending and business investment are at their lowest levels. (d) Sales and profit levels are falling. (j) Rate of inflation slows and may fall. (e) Interest rates are high. (k) Unemployment is at its lowest level. (f) Business expectations are optimistic and consumer confidence is rising. (l) Employment opportunities are increasing.

A business cycle is ______.Multiple choice question.a period in which output and employment are risingthe expansionary and contractionary phases in the growth rate of real GDPa period in which output and employment are fallinga very deep and prolonged economic downturn