8
QuizMultiple Choice

4.1 The Business Cycle

Question 8 • (OC27) Economics-2102310-Sem-Meadows

Which stage of the business cycle is an economy in when it reaches its low point?

Answer
A
Expansion
B
Peak
C
Contraction
D
Trough

Explanation

The low point of the business cycle is called the trough. It marks the end of a contraction, before economic activity begins to expand again. Therefore, the correct choice is Trough.

AI-written and checked against the verified answer.

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