The standard definition of "recession" is

A) a period of a positive frictional unemployment rate.
B) two consecutive quarters of falling Real GDP.
C) the lowest point in a business cycle.
D) a period of negative inflation.


B

Economics

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If a 1 percent change in the price of a good causes a 1 percent change in the quantity demanded of that good, then the demand is said to be:

a. perfectly elastic. b. income elastic. c. unit-elastic. d. inelastic. e. perfectly inelastic.

Economics

The answer is: "Policymakers are not aware of changes in the economy as soon as they happen." What is the question?

A) What is the wait-and-see lag? B) What is the data lag? C) What is the effectiveness lag? D) What is the transmission lag? E) none of the above

Economics

If the economy is self-regulating, then it follows that

A) recessionary and inflationary gaps are temporary economic states. B) wages will fall when the economy is in a recessionary gap. C) wages will rise when the economy is in an inflationary gap. D) the economy is always in long-run equilibrium. E) a, b and c

Economics

During recessions, automatic stabilizers work to reduce government expenditures and increase government revenues.

Answer the following statement true (T) or false (F)

Economics