Predicting business cycles is difficult because
A) they are very persistent.
B) the weather changes unpredictably.
C) statistics lie.
D) their frequency is irregular.

Question

Quizplus · Accepted Answer

Business cycles do not occur at regular intervals, making it difficult to predict when they will occur. This is why many economists use leading indicators and other methods to try to predict future cycles. A is incorrect because business cycles are actually not very persistent, and they tend to be cyclical in nature. B and C are also not relevant factors in predicting business cycles.

Predicting Business Cycles Is Difficult Because