Question

The inflation rate is decreasing and unemployment is rising. The economy is likely in

a. contraction
b. expansion
c. a peak
d. a trough

Answer 1

contraction . Hope this helps

Answer 2

A. Contraction

Step-by-step explanation:

According to economic cycles, the economy is in a state of contraction, that is, that this is a period in which economic activity slows down, production and sales levels drop, and consequently companies begin to lay off staff.