Which of the following is a feature of Canadian business cycles?
A)They are difficult to measure.
B)The time series of deviations from trend in real GDP is quite smooth.
C)There is no regularity to the amplitude of fluctuations in GDP below trend.
D)The time series of deviations from trend in real GDP is quite choppy.
E)There is no regularity to the frequency of fluctuations in GDP below trend.

Question

Quizplus · Accepted Answer

Canadian business cycles are characterized by a choppy time series of deviations from trend in real GDP. This means that the fluctuations in GDP below trend occur irregularly and are not smooth. Option A is incorrect because Canadian business cycles are well-measured using various methods such as the composite indicator approach. Option B and E are incorrect because Canadian business cycles do not have regularities in terms of amplitude and frequency of fluctuations.

Which of the Following Is a Feature of Canadian Business