A Period of Expansion in the Business Cycle Ends When

question 14

Multiple Choice

A period of expansion in the business cycle ends when

• A)real GDP is equal to potential GDP.
• B)the business cycle reaches its peak.
• C)the business cycle reaches its trough.
• D)real GDP is less than potential GDP.

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Definitions:

Theory of Mind

The ability to attribute mental states—beliefs, intents, desires, pretending, knowledge—to oneself and others and to understand that others have beliefs, desires, and intentions that are different from one's own.

Object Permanence

The understanding that objects continue to exist even when they cannot be observed (seen, heard, touched, smelled, or sensed in any way).

False Belief

A misunderstanding or incorrect interpretation about the state of the world, often studied in the context of cognitive and developmental psychology.

Theory of Mind

The ability to attribute mental states—beliefs, intents, desires, emotions—to oneself and others.