The Business Cycle Measures

question 104

Multiple Choice

The business cycle measures

• A) fluctuations in the long-run trend growth rate of GDP.
• B) fluctuations in the profit of businesses.
• C) fluctuations in consumption.
• D) short-run fluctuations in economic activity.
• E) fluctuations in the average tax rate paid by businesses.

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Definitions:

Orogeny

The process of mountain formation, especially by the folding and faulting of the Earth's crust, typically as a result of the collision of tectonic plates.

Tectonic Activity

The movement and behavior of the Earth's lithosphere, including the processes of plate tectonics that lead to earthquakes, volcanic eruptions, and the creation of mountain ranges.

Continental Rifting

A tectonic process whereby the continental lithosphere stretches and breaks apart, leading to the formation of new ocean basins.

Passive Margin

The transition between oceanic and continental crust that is not an active plate boundary, typically characterized by a broad continental shelf and little seismic activity.