The four phases of the business cycle are, in order: peak, downturn, trough, upturn.

Answer the following statement true (T) or false (F)

True

See the figure "Business-Cycle Phases" in the textbook.

Economics

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When oligopolistic firms in an industry form a cartel, then it is most likely that

A) both industry output and prices will increase. B) both industry output and prices will decrease. C) industry output will increase while prices will decrease. D) industry output will decrease while prices will increase.

Economics

The basic human tendency to overvalue recent experience when trying to predict the future is called:

A. tulip mania. B. the leverage effect. C. herd instinct. D. the recency effect.

Economics