A Business Cycle Is the Period of Time in Which

question 29

Multiple Choice

A business cycle is the period of time in which:

• A) a business is established and ceases operations.
• B) there are four phases: peak, recession, trough and expansion.
• C) the price level varies with real GDP.
• D) expansion and contraction of economic activity are equal.
• E) none of the above are true.

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Definitions:

Eyes on the Prize

Maintaining focus on the ultimate goal or objective, despite challenges or distractions.

Groupthink

A phenomenon where the desire for group consensus and cohesiveness leads to poor decision-making processes and outcomes.

Maintaining Harmony

The act of keeping relationships or environments peaceful and cooperative.

Critically Thinking

The process of actively and skillfully conceptualizing, applying, analyzing, synthesizing, and evaluating information to reach an answer or conclusion.