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End of Quarter Economics Test
Game Code: 411529
English
33
Public
Business Cycle, Recessions, Aggregate Supply/Demand, & the Federal Reserve
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What is point 1 showing?
Peak
10
What is point 2 showing?
Contraction (it is also possible it is a Recession)
10
What is point 4 showing?
Expansion or Recovery
10
What is point 3 showing?
Trough
10
Which number shows the economy is growing?
4
10
Which number shows the economy is shrinking?
2
10
Define a recession.
A period of two or more quarters where GDP is declining (You must mention GDP).
10
What do we call the natural rise and fall of economic growth over time?
Business Cycle
10
The lowest point in the business cycle is called what?
Trough
5
In the business cycle, what do we call contraction that lasts for 6 months or more?
A Recession
15
At which number on the business cycle will you likely see unemployment dropping?
4
10
What typically occurs with GDP during a recession?
It decreases.
10
What typically happens with unemployment during a recession?
It increases.
10
What typically happens with inflation during a recession?
It drops.
10
Define aggregate demand.
Total demand for all goods and services in an economy at a specific time.
15
Define aggregate supply.
The total amount of goods and services produced in a country in a specific time.
15
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