business cycle

Which of the following characteristics of the business cycle that describing the slump phase?

• Very weak consumer spending and business investment

• Fallings levels of consumer spending

• Consumers begin to increase spending

• Rapidly rising unemployement

What are the 3 areas of unemployment?

• Cyclical Unemployment

• Structural Unemployment

• Frictional unemployment

• Transitional Unemployment

Check all that apply.

Which of the following goal(s) is mostly likely to be in trouble at the trough?

• equity

• full employment

• growth

• price stability

If a news headline says, "Finally!!! 3 straight months of increased jobs and positive consumer confidence,"

which period on the business cycle is being reference?

• Peak

• Contraction/Recession

• Trough

• Expansion/Growth/Recovery

Inflation is defined as an increase in:

• real wages of workers.
• real GDP.
• the average price level.
• all consumer products.

Which of the following is a trough?

• A

• B

• C

• D

What is happening to GDP during the slump phase??

• Increasing

• Decreasing

• Highest

• Lowest

The more money people invest in businesses, 

the more money businesses have to grow. Therefore, investment affects the business cycle.

• TRUE

• FALSE

If a news headline says, "3 months of consecutive job losses is impacting consumer confidence."

Where on the business cycle is the current economy?

• Peak

• Contraction

• Trough

• Expansion

GDP is rising out of a recession

• expansion

• contraction

• peak

• trough