According to the circular flow diagram in Exhibit 4, consumption spending flows into U.S. product markets, but import spending does not. But U.S. households buy imported goods in U.S. markets, don't they? Explain. If Real GDP is $487 billion in year 1 and $498 billion in year 2, what is the economic growth rate equal to? The following figure shows a business cycle. Identify each of the following as a phase of the business cycle: (a) Point A : (b) Between points A and B : (c) Point B : (d) Between points B and C : (e) Between points C and D: (f ) Point D