Which phase of the business cycle would be most closely associated with an economic contraction?

A. recession
B. peak
C. trough
D. recovery


Answer: A

Economics

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From 2000 to 2009, the net annual inflow of illegal immigrants has averaged about:

A. 250,000 per year B. 500,000 per year C. 750,000 per year D. 1 million per year

Economics

If a positive permanent supply shock were to occur, the resulting equilibrium would be a:

A. higher level of output and prices. B. lower level of output and prices. C. higher level of output at lower prices. D. lower level of output at higher prices.

Economics

There are several assumptions that are the basis of the operation of the benchmark competitive labor market. Which of the following is not one of these assumptions?

A. Wage rates are costlessly observable. B. Compensation is made up of wages and benefits. C. There are no long-term contracts. D. All jobs are identical.

Economics

The increase in unemployment that occurs during recessions and depressions is called

A. normal unemployment. B. frictional unemployment. C. structural unemployment. D. cyclical unemployment.

Economics