The Business Cycle

Question 1

best

Revolt · Accepted Answer

Consumers spend less, causing worker layoffs.

Question 2

Which of the following is a characteristic of prosperity in the peak phase of the business cycle?

Revolt · Accepted Answer

high levels of production

Question 3

Which of the following conditions is most indicative of recovery?

Revolt · Accepted Answer

The economy is growing again.

Question 4

Which stage of the business cycle is an economy in when it reaches its low point?

Revolt · Accepted Answer

Trough

Question 5

Which event most likely explains renewed demand in a recovery period?

Revolt · Accepted Answer

Economic policy renews consumer confidence and demand.

Question 6

best

Revolt · Accepted Answer

Car dealerships cannot sell their stock.

Question 7

This is a graph of the business cycle.Time is measured along the x-axis. What is measured along the y-axis?

Revolt · Accepted Answer

economic output

Question 8

The graphs show the US unemployment rate and the price of whole milk between 2006 and 2012.

Revolt · Accepted Answer

As unemployment rates rise, average prices fall.

Question 9

Why might buying a home during a recession be a good decision for some consumers? Choose three answers.Housing prices are down.It is easier to get a mortgage.Less demand means more options for buyers.Less demand means less competition with other buyers.Fewer houses are on the market.

Revolt · Accepted Answer

Housing prices are down.; Less demand means more options for buyers.; Less demand means less competition with other buyers.

Question 10

When production is very high but demand is very low, it can lead to

Revolt · Accepted Answer

a recession.

The Business Cycle Answers

More from this Course

TRY EDGENUITY HACKS