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Econ- Chapter 13, Section 4
Test Description: Business cycle
Instructions: Answer all questions to get your test result.
1) Part of the business cycle during which economic activity is slowing down is called a:
A
Peak
B
Recession
C
Contraction
D
Trough
2) Part of the business cycle in which the nation’s output declines for at least 6 months is called a:
A
Recession
B
Trough
C
Peak
D
Contraction
3) The lowest part of the business cycle in which the downward spiral of the economy levels off is called a:
A
Contraction
B
Peak
C
Recession
D
Trough
4) The ups and downs in the economy:
A
Business cycle
B
Depression
C
Business fluctuations
D
Expansion/recovery
5) Irregular changes in the level of total output measured by real GDP:
A
Expansion/recovery
B
Business fluctuations
C
Business cycle
D
Depression
6) A prolonged slowdown of economic activity:
A
Business cycle
B
Depression
C
Business fluctuations
D
Expansion/recovery
7) Part of the business cycle in which economic activity slowly increases:
A
Depression
B
Expansion/recovery
C
Business fluctuations
D
Business cycle
8) On October 29, 1929, the total value of all stocks fell by:
A
$14 trillion
B
$14 billion
C
$14 million
D
$141 million
9) The largest drop that eventually resulted in a depression followed the stock market crash in:
A
October 1949
B
October 1939
C
October 1929
D
October 1919
10) One of the main reasons for the end of the Great Depression was:
A
Foreign investment
B
Monetary policy
C
Massive government spending in WWII
D
Budget surplus
*select an answer for all questions
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