When Macroeconomists Use the Term "Recession" They Usually Define It

question 107

Multiple Choice

When macroeconomists use the term "recession" they usually define it as a fall in real GDP that lasts for at least

• A)one quarter.
• B)two quarters.
• C)three quarters.
• D)one year.
• E)two years.

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Definitions:

Rule of Five

An empirical rule suggesting that there's a 93.75% chance that a normal sample will fall within ±1.96 standard deviations of the mean.

Sample Size

The quantity of data points or observations employed in an experiment or research.

Chi-Squared Test

A statistical test used to determine if there is a significant difference between observed frequencies and expected frequencies in one or more categories.

Degrees of Freedom

The amount of separate values or quantities that can be given to a statistical distribution.