Almost all recessions identified by the NBER are characterized by:
A) declining real GDP.
B) higher interest rates.
C) durations exceeding two years.
D) higher rates of inflation.

Question

Quizplus · Accepted Answer

Declining real GDP is considered a key characteristic of a recession and is a primary factor in the NBER's determination of recessionary periods. While interest rates may be impacted during a recession, they are not always a defining feature. Recession durations can vary greatly and are not necessarily limited to two years. Higher rates of inflation are also not necessarily present during a recession.

Almost All Recessions Identified by the NBER Are Characterized By