Contraction
Quiz
•
Social Studies
•
12th Grade
•
Practice Problem
•
Hard
John Robinson
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15 questions
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1.
MULTIPLE SELECT QUESTION
1 min • 1 pt
Which of the following goal(s) is mostly likely to be in trouble at the peak?
equity
full employment
growth
price stability
2.
MULTIPLE CHOICE QUESTION
1 min • 1 pt
In the business cycle, it is the part when the economy is declining
Trough
Expansion
Contraction
Peak
3.
MULTIPLE CHOICE QUESTION
1 min • 1 pt
Point #2 on the graph indicates a __________ of the business cycle.
Peak
Trough
Contraction
Expansion
4.
MULTIPLE CHOICE QUESTION
1 min • 1 pt
In the context of economics, what does the term 'contraction' refer to?
A decrease in economic activity
An increase in employment rates
A rise in consumer spending
A period of economic growth
5.
MULTIPLE CHOICE QUESTION
1 min • 1 pt
Which of the following is a characteristic of an economic contraction?
Rising GDP
Increasing inflation
Decreasing unemployment
Falling consumer confidence
6.
MULTIPLE CHOICE QUESTION
1 min • 1 pt
During an economic contraction, what typically happens to interest rates?
They increase
They decrease
They remain stable
They fluctuate unpredictably
7.
MULTIPLE CHOICE QUESTION
1 min • 1 pt
What is a common government response to an economic contraction?
Raising taxes
Cutting public spending
Implementing stimulus measures
Increasing interest rates
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