During the 1900-1950 period,
A) the growth of real GDP was more stable than has been the case since 1950.
B) unemployment seldom exceeded 4 percent of the labor force.
C) double-digit swings in real GDP during a single year were not uncommon.
D) the money supply was increased at a constant annual rate of between 4 percent and 6 percent throughout the period.

Question

Quizplus · Accepted Answer

The 1900-1950 period was characterized by large fluctuations in real GDP with double-digit swings in a single year being common. Unemployment was also higher than today, frequently exceeding 4 percent of the labor force. The money supply was not increased at a constant rate throughout the period, and there were periods of both monetary expansion and contraction.

During the 1900-1950 Period