In a business cycle, a peak represents the end of ________ and a trough represents the end of ________.
A) an expansion; a recession
B) a depression; an expansion
C) a trough; a peak
D) a recession; an expansion

Question

Quizplus · Accepted Answer

A peak in a business cycle represents the end of an expansion, where economic activity reaches its highest point before entering a downturn or recession. Conversely, a trough represents the end of a recession, where economic activity reaches its lowest point before entering an expansion. Therefore, the best choice is A) an expansion and a recession.

In a Business Cycle, a Peak Represents the End of ________