Which of the following is true of economic fluctuations?
A)They can be experienced by the world economy as well as by a single nation.
B)They tend to be equal in length and intensity.
C)They reflect an economy's socio-political condition.
D)They tend to become more severe when the government attempts to stabilize an economy.
E)They have been completely offset by appropriate government policies during the last 40 years.

Question

Quizplus · Accepted Answer

Economic fluctuations can occur on a global scale or within a single nation. They are not necessarily equal in length or intensity, and while they may be influenced by socio-political factors, they are primarily driven by economic factors such as inflation, unemployment, and changes in demand and supply. Government policies can have both positive and negative effects on economic fluctuations, and while some fluctuations may have been mitigated by policies in the past, it is not accurate to say that they have been completely eliminated.

Which of the Following Is True of Economic Fluctuations