Productivity Fluctuates Along a Business Cycle Because

question 209

Multiple Choice

Productivity fluctuates along a business cycle because

• A) firms usually keep excess labor.
• B) workers tend to become more productive during expansions.
• C) workers tend to become less productive during expansions.
• D) Both B and C are correct.

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Definitions:

Solar Power

Energy from the sun that is converted into thermal or electrical energy for use by humans.

Natural Gas

A fossil fuel consisting mainly of methane, used as a source of energy for heating, cooking, and electricity generation.

Ethanol

A volatile, flammable, colorless liquid commonly used as a biofuel and as the principal type of alcohol found in alcoholic beverages.

Corn

A cereal grain which serves as a staple food in many parts of the world, also used as feed for livestock and for various industrial applications.