Which of the Following Statements Is FALSE

question 67

Multiple Choice

Which of the following statements is FALSE?

• A) Short- term ups and downs in the economy are known as business cycles.
• B) Business cycles are always symmetric - the length of an expansion is the same as the length of a contraction.
• C) The rate of change in economic activity is used to assess whether an economy is expanding or contracting.
• D) During a recession, output and employment are falling.

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Definitions:

Voidable Preferences

Transactions made by a bankrupt debtor prior to bankruptcy that can be nullified or undone to ensure fair distribution of assets to creditors.

Antecedent Debts

Debts that were incurred prior to a particular event or transaction.

Involuntary Petition

A legal document filed by creditors to initiate bankruptcy proceedings against a debtor without the debtor's consent.

Non-Profit

An organization whose primary objective is to support an issue or matter of private interest or public concern for non-commercial purposes, rather than earning profits for its owners or stakeholders.