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 the primary characteristic of a recession as identified by the NBER.

Answer: B 
 Higher interest rates are not necessarily a characteristic of a recession, as they can fluctuate depending on a variety of factors.

Answer: C 
 Durations exceeding two years are not necessarily a characteristic of a recession, as they can vary in length depending on a variety of factors.

Answer: D 
 Higher rates of inflation are not necessarily a characteristic of a recession, as they can vary depending on a variety of factors.

Almost All Recessions Identified by the NBER Are Characterized By