The following statements about the business cycle are correct ...

[Medesa]

The following statements about the business cycle are correct except ______.
 
  A. it is a regular predictable cycle in real GDP around potential GDP
  B. from the peak to the trough, the economy is in a recession
  C. from the trough to the peak, the economy is in an expansion
  D. it is a periodic movement in economic activity including employment

Question 2

What does it mean for two inputs to be complements? Give an example that describes how labor and capital can be complementary inputs.
 
  What will be an ideal response?

[ricroger]

Answer to Question 1

A The business cycle fluctuations around potential GDP are ir-regular and difficult to predict.

Answer to Question 2

Two inputs are complementary when the presence of one raises the productivity of another. A worker with a shovel can dig holes more quickly than one without.

[Medesa]

TYSM

[Liddy]

Gracias!