Define the following characteristics of business cycles: recurrence and persistence
What will be an ideal response?
Business cycles exhibit recurrence and persistence:
(1 ) Recurrence means that each complete cycle is followed by another complete cycle.
(2 ) Persistence means that, once begun, each contraction tends to continue. Likewise, once begun, each expansion tends to continue. For example, the 1981-1982 contraction lasted for 16 months, and the 1982-1990 expansion lasted for 93 months. These are persistent events.
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________ will lead to an increase in the gross domestic product of a country, all other variables remaining constant
A) An increase in exports B) An increase in imports C) A fall in the expenditure incurred by the government D) A fall in the expenditure on investment goods
The table above shows Tom's total utility from milkshakes and sodas. Tom's total budget for milkshakes and sodas is $20.00 per week. Milkshakes cost $2.00 each and sodas cost $.50 each
What quantity of milkshakes does Tom purchase at his consumer equilibrium? A) five B) six C) seven D) eight