Which of the Following Will Most Likely Occur During the Expansionary

question 144

Multiple Choice

Which of the following will most likely occur during the expansionary phase of a business cycle?

• A)Real GDP declines, and the rate of unemployment increases.
• B)Real GDP declines, and the rate of inflation is unchanged.
• C)Real GDP increases, and rate of unemployment falls.
• D)Real GDP is unchanged, and the rate of inflation is unchanged.

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