In 2008, Zimbabwe ran out of locally produced Coca Cola and local ...

[rmenurse]

In 2008, Zimbabwe ran out of locally produced Coca Cola and local Coke bottlers were not able to import the concentrated syrup needed to make Coke from the United States because they could not obtain U.S. dollars.
 
  A small amount of Coke was imported from South Africa, but a single bottle sold for around 15 billion Zimbabwean dollars. Zimbabwe was experiencing rapid increases in the price level, which is known as
  A) deflation. B) inflation. C) hyperinflation. D) stagflation.

Question 2

What is a business cycle and what are its phases and turning points?
 
  What will be an ideal response?

[CharlieArnold]

Answer to Question 1

C

Answer to Question 2

The business cycle is a periodic but irregular up-and-down movement of total production and other measures of economic activity. A business cycle has two phases: recession and expansion. The turning points are the peak and the trough. A business cycle runs from a trough to an expansion to a peak to a recession to a trough and then back to an expansion.