Determine if each statement below is true or false and place it in the correct b

Question

Determine if each statement below is true or false and place it in the correct birn. True False e peak of a business cycle is When a business cycle reaches the trough, the economy is usually followed by a downturn or recession. operating at its capacity Business cycles last for Business cycles can be described as approximately nine months.fluctuations from the economy's long-term growth trend. The four phases of business cycles are peaks, troughs, expansions, and recessions Business cycles are common in emerging economies but not in developed economies Previous Give Un & View Solution Chack Ans

Explanation / Answer

The pick of business cycle is followed by a recession is True

At pick economy is running at its full capacity hence "When Business reaches a trough the economy is operating at its capacity " is False.

Business cycles are the fluctuations from the economy's long term Growth trend is True. As it is assumed to be mean reverting process.

Business cycle is a common phenomenon in emerging as well as developed economies.Only difference is peak and troughs are high in emerging markets than that of developed markets therefore business cycles are common in emerging economies but not in developed economies is False.

The four phases are peak , trough, expansion and recessions therefore answer is True.

The business cycles since 1945 to 2009 have seen average business cycle period of less than six years.Hence business cycles are of 9 month period is False.

Related Questions

Navigate

• Browse (All)
• Browse D
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.