66.7k views
12 votes
The phase of a business cycle after a recession in which consumer confidence is shaken and consumers reduce spending is called

User Expandable
by
8.0k points

1 Answer

2 votes

Answer:

Depression

Step-by-step explanation:

A business cycle is defined as the period that occurs between a boom and a contraction in an economy. A boom is rapid economic growth while a contraction is a period of slow economic growth.

There are 6 stages of business cycle: expansion, peak, recession, depression, trough, and recovery.

A recession is the early stage of a contraction in which demand for products start to decline and prices fall.

After a recession is depression. In this stage economic growth declines further, unemployment increases, consumer confidence is shaken and consumers reduce spending

User Puspendu Banerjee
by
8.5k points

No related questions found

Welcome to QAmmunity.org, where you can ask questions and receive answers from other members of our community.

9.4m questions

12.2m answers

Categories