Which term refers to a period of sustained growth of output in the economy?
A) expansion
B) contraction
C) peak
D) trough

Question

Which term refers to a period of sustained growth of output in the economy?  
A) expansion 
B) contraction 
C) peak 
D) trough

Quizplus · Accepted Answer

Expansion refers to a period when the economy experiences sustained growth in output, employment, and income. During this period, businesses invest in new projects, consumers spend more, and the overall demand for goods and services increases. This results in increased production and profits, which, in turn, leads to the creation of more jobs and higher wages.

Which Term Refers to a Period of Sustained Growth of Output