In the United States, business cycles have occurred against a backdrop of a long-run trend of
A) declining unemployment.
B) stagnant productivity growth.
C) rising real GDP.
D) rising inﬂation.

Question

Quizplus · Accepted Answer

The long-run trend in the United States has been one of rising real GDP, meaning that over time, the economy has produced more goods and services. This trend has been interrupted periodically by business cycles, which are characterized by fluctuations in economic activity.

In the United States, Business Cycles Have Occurred Against a Backdrop