If during several quarters, the economy is simultaneously increasing its levels of output and employment, then the economy is in a(n):
A) depression.
B) expansion.
C) recession.
D) turning point between a recovery and a downturn.

Question

Quizplus · Accepted Answer

When the economy is increasing its levels of output and employment, it is in an expansion. A depression is a prolonged period of economic contraction, while a recession is a period of economic decline. A turning point between a recovery and a downturn would indicate a less clear economic trend.

If During Several Quarters, the Economy Is Simultaneously Increasing Its