The Logical Sequence of the Phases of a Business Cycle

question 78

Multiple Choice

The logical sequence of the phases of a business cycle is:

• A) peak, trough, expansion, recession.
• B) peak, expansion, trough, recession.
• C) peak, recession, trough, expansion.
• D) peak, expansion, recession, trough.

---

Definitions:

Monopolistic Seller

A market scenario where a single seller dominates the market, having substantial control over the prices and the supply of a product or service.

Purely Competitive

A market structure characterized by many buyers and sellers, where no single entity can influence the market price.

Resource Demand

The desired quantity of a resource that businesses and individuals are willing and able to consume at a given price.

Demand Factors

Elements that influence the quantity of a product or service consumers are willing to buy at a given price, such as income levels, tastes, and price of substitutes.