The phase of the business cycle where real domestic output is at a minimum is called:
A)the peak.
B)a recession.
C)the trough.
D)the pits.

Question

Quizplus · Accepted Answer

The trough is the lowest point in the business cycle where real domestic output falls to a minimum. A recession is a period of at least six months where real GDP declines, and the peak is the highest point in the business cycle where real domestic output is at a maximum. "The pits" is not a commonly used term to describe any phase of the business cycle.

The Phase of the Business Cycle Where Real Domestic Output