Compared with a recession, real GDP during a depression:
A) increases more rapidly.
B) increases at approximately the same rate.
C) decreases at approximately the same rate.
D) decreases more severely.

Question

Quizplus · Accepted Answer

A depression is a more severe and prolonged economic downturn than a recession. During a depression, real GDP decreases more severely than during a recession.

Compared with a Recession, Real GDP During a Depression