A significant decline in real GDP is called a
a. recession.
b. depression.
c. peak.
d. trough.
a. recession.
You might also like to view...
The figure above shows the demand curve for pizza. Using the midpoint method and moving from point A to point B, calculate the
a) percentage change in price. b) percentage change in quantity demanded. c) price elasticity of demand.
For each short-run average total cost curve, the ________ the plant, the ________ is the output at which average total cost is at a ________
A) larger; greater; maximum B) larger; greater; minimum C) larger; smaller; minimum D) smaller; smaller; minimum
If Mario's Pizza, a large frozen pizza distributor, builds a tomato sauce plant near Red Tomatoes, a large tomato farm, to reduce the costs of transporting fresh tomatoes, ________ potentially faces a hold-up problem as the firm invested in a ________.
A) Mario's Pizza; transaction-specific asset B) Red Tomatoes; negotiation asset C) Red Tomatoes; transaction-specific asset D) Mario's Pizza; negotiation asset
The Keynesian analysis of fiscal policy argues that:
a. fiscal policy should generally be expansionary except during periods of economic recession. b. fiscal policy should generally be restrictive except during inflationary booms. c. the federal budget should be balanced annually except during war. d. the federal budget should be used to maintain aggregate demand at a level consistent with full employment.