Fluctuations of economic activity around a long-term trend with periods of expansion and contraction are known as the gross domestic product (GDP).

Question

Quizplus · Accepted Answer

Fluctuations of economic activity around a long-term trend with periods of expansion and contraction are known as the business cycle, not the gross domestic product (GDP). GDP measures the total value of all goods and services produced over a specific time period within a country.

Fluctuations of Economic Activity Around a Long-Term Trend with Periods