Author Question: Recessions in the U.S. economy show up in economic data as periods of A) declining prices. B) ... (Read 82 times)

Brittanyd9008 · **on:** Jun 29, 2018

Recessions in the U.S. economy show up in economic data as periods of

A) declining prices.
B) rising interest rates.
C) slower growth or actual decline in nominal GDP.
D) slower growth or actual decline in real GDP.

Question 2

Is it possible for inflation and recession to occur simultaneously in an economy?

A) No, because prices cannot rise during a recession.
B) No, because recession is caused by too little demand and inflation by too much demand.
C) Yes, and this has happened several times in the U.S. economy since World War II.
D) Yes, but it has not occurred since the Great Depression in the 1930s.
E) Yes, but while it is logically possible it has never actually happened in any major industrialized economy.