Question

Which of the following circumstances usually accompanies a period of economic expansion?

Answer 1

The correct answer for the question that is being presented above is this one: "b.High inflation." The circumstance that usually accompanies a period of economic expansion is that b.High inflation.


Here are the following choices:

a.Falling production

b.High inflation

c.Low GDP

d.Rising unemployment

Answer 2

Answer choices are:

a. Falling production

b. High inflation

c.Low GDP

d.Rising unemployment

Correct answer choice is:

b. High inflation

A period of economic expansion is basically the period in which the economy of any country is boosted from a low level to a high level. Business activities surges and gross domestic product (GDP) is expanded until it reaches a peak. The productivity of goods and services rises and the production houses are completely supported by the government. The banks are forced to increase the interest rates in order to raise the profit.