A recession can best be defined as a period of time in which
A)total output of the economy falls.
B)total output of the economy rises very slowly.
C)total unemployment falls.
D)total international trade fails to rise.
E)the rate of inflation falls below zero.

Question

Quizplus · Accepted Answer

A recession is defined as a period of time in which the total output, or Gross Domestic Product (GDP), of the economy falls for two consecutive quarters, typically accompanied by a rise in unemployment and a decline in consumer spending. Slow economic growth, lack of international trade growth, and inflation rates falling below zero are not necessarily indicative of a recession.

A Recession Can Best Be Defined as a Period of Time