________ usually increase(s) when the U.S. economy is in a recession and decrease(s) when the U.S. economy is expanding.
A) Consumer spending
B) Planned investment
C) Net Exports
D) Unplanned investment

Question

Quizplus · Accepted Answer

Net exports usually increase when the U.S. economy is in a recession and decrease when the U.S. economy is expanding. This is because during a recession, U.S. goods and services become cheaper relative to foreign goods and services, making them more attractive to foreign buyers. Conversely, during an expansion, U.S. goods and services become more expensive relative to foreign goods and services, making them less attractive to foreign buyers.

________ Usually Increase(s) When the U