What are the four stages of the normal business cycle described in the textbook? How does this cycle relate to the current state of the U.S. economy?
Answer:
An ideal response will:
1. Identify the four stages of the normal business cycle as expansion, contraction, recession, and recovery.
2. Explain that the recent economic turmoil has been called the Great Recession because of its length and very high levels of unemployment, and that it began in 2008 with the collapse of the U.S. housing market.
3. Note that although economic activity began to increase in 2011, the U.S. economy was still struggling in 2012 because the economic cycle was stuck in the recession phase.
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Which of the following actions can the president take without permission, approval, or participation of Congress?
What will be an ideal response?
Consider the "Using the Framework" box about the Roberts Court and business. In general, what has been the Supreme Court's overall position toward business in recent years?
a. The Court is more liberal and much more supportive of regulating business than it has been since the end of WWI. b. The Court is currently the most pro-business it has been since the end of WWII. c. The Court has become increasingly hostile to business interests. d. The Court rarely hears cases that involve business interests, choosing instead to defer to Congress.