An economic expansion reflects

Question

Quizplus · Accepted Answer

An economic expansion is a period of time in which there is an increase in output and employment levels following a recession. This is characterized by an increase in economic activity, consumer spending, and production. It is a positive movement towards equilibrium, rather than a movement from disequilibrium to a new equilibrium as in option A. The decrease in employment level following a recession is not an example of an economic expansion, as mentioned in option B. Option D is incorrect because rising wage rates can occur during both stable and unstable economic periods. Option E is also incorrect as instability in government tax revenues does not define or reflect economic expansion.

An Economic Expansion Reflects