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Author Question: What is a recession? What will be an ideal response?[br][br][b][color=#7BCCB5]Question ... (Read 28 times)

Collmarie

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on: Jun 29, 2018
What is a recession?
 
  What will be an ideal response?

Question 2

Economic depreciation is the
 
  A) firm's opportunity cost of using its own capital.
  B) change in the market value of capital over a given period.
  C) return that an entrepreneur can expect to receive on average.
  D) forgone return on the funds used to buy capital.


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mammy1697

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Reply #1 on: Jun 29, 2018
Answer to Question 1

A recession is a period of time during which real GDP decreases, so that the growth rate of real GDP is negative, for at least two successive quarters. A recession occurs starts after a peak in the business cycle and ends before a trough in the business cycle. During a recession, real GDP falls below potential GDP.

Answer to Question 2

B


Collmarie

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Reply 2 on: Jun 29, 2018
Wow, this really help

Laurenleakan

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Reply 3 on: Yesterday
YES! Correct, THANKS for helping me on my review

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