Question

Recessions begin at ________ and end at ________.

A. a trough; a peak

B. the lowest unemployment rate; the highest unemployment rate

C. the highest unemployment rate; the lowest unemployment rate

D. a peak; a trough

Answer 1

Recessions begin at d)a peak and end at a trough.

Step-by-step explanation:

The materials provided point out that the peak represents the highest point before a recession commences, while the trough indicates the lowest point before the economy starts to recover and expand again. Hence, recessions can be understood as a contraction in the business cycle, and expansions as periods of economic growth.

A correct answer to the student’s question, based on the established definitions of these economic points, would be A: a recession begins at a peak and ends at a trough. Understanding these terms is pivotal for interpreting economic trends and forecasts, as well as historical economic performance, as reflected by the data regarding the pattern of recessions and expansions since 1900. The answer is option d.