The Idea That the Business Cycle Is Recurrent Means That

question 6

Multiple Choice

The idea that the business cycle is recurrent means that

• A)declines in economic activity tend to be followed by further declines, and growth in economic activity tends to be followed by more growth.
• B)the standard pattern of contraction-trough-expansion-peak occurs again and again in industrial economies.
• C)many economic variables to move together in a predictable way over the business cycle.
• D)peaks and troughs of the business cycle occur at regular intervals.

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Definitions:

Doctrine

A belief or set of beliefs held and taught by an organization, especially a religious or political one.

Agency Relationship

A legal relationship in which one party, the agent, is authorized to act on behalf of another party, the principal, in conducting business transactions.

Independent Contractor

One who contracts to do a job and who retains complete control over the methods employed to obtain completion.