Statement I: The depression phase of the conventional three-phase business cycle is usually accompanied by an unemployment rate of at least 20 percent.
Statement II: The so-called index of leading economic indicators has generally begun to decline two or three months after business cycle peaks.

Question

Quizplus · Accepted Answer

Statement I is false because the depression phase is not typically defined by a specific unemployment rate like 20 percent. Statement II is false because leading economic indicators usually decline before business cycle peaks, not after.

Statement I: the Depression Phase of the Conventional Three-Phase Business