Which of the following statements about economic fluctuations is true?
A) None of these answers
B) A depression is a mild recession.
C) A variety of spending, income, and output measures can be used to measure economic fluctuations because most macroeconomic quantities tend to fluctuate together.
D) A recession is when output rises above the natural rate of output.
E) Economic fluctuations have been termed the "business cycle" because the movements in output are regular and predictable.

Question

Quizplus · Accepted Answer

A variety of measures such as gross domestic product, consumer spending, and employment tend to fluctuate together during economic fluctuations, which is why they can be used to measure them. The other answer choices are incorrect.

Which of the Following Statements About Economic Fluctuations Is True