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9. Suppose the economy is experiencing a very strong expansionary stage of the business cycle. Which of the following is likely true? a. National income

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9. Suppose the economy is experiencing a very strong expansionary stage of the business cycle. Which of the following is likely true? a. National income is falling b. The unemployment rate is falling. C. Gross domestic product is rising. d. The unemployment rate is rising. e . The inflation rate is falling. 10. Economic growth is a. the long-run increase in national output b. the same as an expansion in the business cycle C. achieved only when the unemployment rate reaches zero d. experienced at the peak of the business cycle e. the natural result end of the end of a recession Figure 3.1 Curve Y Line Z Economic output Time 11. Which of the following movements in Figure 3.1 represents economic growth over time? a. Point b to point c b. Point a to point b C. Point c to point d d. Point c to point a e. Point b to point e 12. In Figure 3.1, we can see economic growth as a. the ups and downs of economic output represented by Curve Y b. the long-term upward trend in economic output represented by Line Z c. the movement from point c to point d on Curve Y d. point D on Curve Y e. the movement from point a to point c on Curve 13. Refer to Figure 3.1. Which range of points would define the length of a recession? a. Point b to point c b. Point a to point c c. Point c to point d d. Point c to point a Point b to point e 14. Refer to Figure 3.1. 'Which range of points would define the length of a complete business cycle? * a. Point b to point c b. Point a to point c c. Point c to point d d. Point a to point d e . Point b to point e

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