In the expansion phase of the business cycle
A)output is rising.
B)unemployment is falling.
C)consumer and business confidence is high.
D)all of the above are true.

Question

In the expansion phase of the business cycle
A)​output is rising.
B)​unemployment is falling.
C)​consumer and business confidence is high.
D)​all of the above are true.

Quizplus · Accepted Answer

In the expansion phase of the business cycle, all three statements are true. Output is rising, which means the economy is growing, and businesses are producing more goods and services. As a result, unemployment is falling as businesses need to hire more workers to meet the increased demand. Consumer and business confidence is high because people and firms expect the good times to continue, and they are more likely to spend and invest in the economy.

In the Expansion Phase of the Business Cycle