Describe recession and expansion.

Question

Want to see more full solutions like this?

Answer 1

Question

Definition Definition Increase in the amount of goods and services produced by a country in a given period of time compared to an earlier period. Economic growth is generally coupled with a rise in national income or the purchasing power of individuals. It is often measured in terms of the increase in a country's gross domestic product (GDP), or the overall monetary value of all the complete or final services and goods that a country can produce within its domestic boundaries in a specific period.

Chapter 12, Problem 1RQ

To determine

Describe recession and expansion.

Expert Solution & Answer

Explanation of Solution

When the economy is reach it peaks, the economic activities reach its heights. Then it begins to fall. In the period of recession, the economic activities go in a slow motion. This is because of the decreased employment, productivity, and money growth. However, the economy will survive the situation through the adoption of macroeconomic policies. Then the economic activities improve better than the recession period. Thus, it can be said that the beginning point of recession is a peak and it ends at the trough situation. Then the economy gradually moves to the expansion stage. In the post war period, due to the adoption of many policies, Country U entered in to an expansionary phase. Also an expansionary stage has been longer on average than a recession.

Want to see more full solutions like this?

Subscribe now to access step-by-step solutions to millions of textbook problems written by subject matter experts!

Students have asked these similar questions

Where can I go to get my own wax supplies?

Problem 2. If the consumer preference can be represented by a CES function with δ = 0.5, i.e. u(x, y) = x0.5 + y0.5. Let the prices and income be (px, py, w). 1. Set up the Lagrangian expression.2. Take the first-order conditions.3. Substitute into budget constraint to derive the optimal consumption bundles.

1. A town relies on four different sources for its non-drinking water needs: dam water, reclaimed water, rain water, and desalinated water. The different sources carry different risks and costs. For instance, desalinated water is fully reliable due to abundant sea water, but it is more expensive than other options. Reclaimed water also has relatively lower risk than rain or dam water since a certain amount can be obtained, even during the dry. season, by the treatment of daily generated waste water. Using any of the four options requires an investment in that resource. The return on a particular water source is defined as the amount of water generated by the source per dollar of investment in it. The expected returns and standard deviations of those returns for the four water sources are described in the following table: Water resource Expected return St. Deviation Dam water 2.7481 0.2732 Reclaimed water 1.6005 0.0330 Rain water 0.5477 0.2865 Desalinated water 0.3277 0.0000 Higher…

Answer 2

Question

Definition Definition Increase in the amount of goods and services produced by a country in a given period of time compared to an earlier period. Economic growth is generally coupled with a rise in national income or the purchasing power of individuals. It is often measured in terms of the increase in a country's gross domestic product (GDP), or the overall monetary value of all the complete or final services and goods that a country can produce within its domestic boundaries in a specific period.

Chapter 12, Problem 1RQ

To determine

Describe recession and expansion.

Expert Solution & Answer

Explanation of Solution

When the economy is reach it peaks, the economic activities reach its heights. Then it begins to fall. In the period of recession, the economic activities go in a slow motion. This is because of the decreased employment, productivity, and money growth. However, the economy will survive the situation through the adoption of macroeconomic policies. Then the economic activities improve better than the recession period. Thus, it can be said that the beginning point of recession is a peak and it ends at the trough situation. Then the economy gradually moves to the expansion stage. In the post war period, due to the adoption of many policies, Country U entered in to an expansionary phase. Also an expansionary stage has been longer on average than a recession.

Want to see more full solutions like this?

Subscribe now to access step-by-step solutions to millions of textbook problems written by subject matter experts!

Answer 3

Question

Definition Definition Increase in the amount of goods and services produced by a country in a given period of time compared to an earlier period. Economic growth is generally coupled with a rise in national income or the purchasing power of individuals. It is often measured in terms of the increase in a country's gross domestic product (GDP), or the overall monetary value of all the complete or final services and goods that a country can produce within its domestic boundaries in a specific period.

Chapter 12, Problem 1RQ

To determine

Describe recession and expansion.

Expert Solution & Answer

Explanation of Solution

When the economy is reach it peaks, the economic activities reach its heights. Then it begins to fall. In the period of recession, the economic activities go in a slow motion. This is because of the decreased employment, productivity, and money growth. However, the economy will survive the situation through the adoption of macroeconomic policies. Then the economic activities improve better than the recession period. Thus, it can be said that the beginning point of recession is a peak and it ends at the trough situation. Then the economy gradually moves to the expansion stage. In the post war period, due to the adoption of many policies, Country U entered in to an expansionary phase. Also an expansionary stage has been longer on average than a recession.

Want to see more full solutions like this?

Subscribe now to access step-by-step solutions to millions of textbook problems written by subject matter experts!

Answer 4

Question

Definition Definition Increase in the amount of goods and services produced by a country in a given period of time compared to an earlier period. Economic growth is generally coupled with a rise in national income or the purchasing power of individuals. It is often measured in terms of the increase in a country's gross domestic product (GDP), or the overall monetary value of all the complete or final services and goods that a country can produce within its domestic boundaries in a specific period.

Chapter 12, Problem 1RQ

To determine

Describe recession and expansion.

Expert Solution & Answer

Explanation of Solution

When the economy is reach it peaks, the economic activities reach its heights. Then it begins to fall. In the period of recession, the economic activities go in a slow motion. This is because of the decreased employment, productivity, and money growth. However, the economy will survive the situation through the adoption of macroeconomic policies. Then the economic activities improve better than the recession period. Thus, it can be said that the beginning point of recession is a peak and it ends at the trough situation. Then the economy gradually moves to the expansion stage. In the post war period, due to the adoption of many policies, Country U entered in to an expansionary phase. Also an expansionary stage has been longer on average than a recession.

Want to see more full solutions like this?

Subscribe now to access step-by-step solutions to millions of textbook problems written by subject matter experts!

Answer 5

Chapter 12, Problem 1RQ

To determine

Describe recession and expansion.

Expert Solution & Answer

Explanation of Solution

When the economy is reach it peaks, the economic activities reach its heights. Then it begins to fall. In the period of recession, the economic activities go in a slow motion. This is because of the decreased employment, productivity, and money growth. However, the economy will survive the situation through the adoption of macroeconomic policies. Then the economic activities improve better than the recession period. Thus, it can be said that the beginning point of recession is a peak and it ends at the trough situation. Then the economy gradually moves to the expansion stage. In the post war period, due to the adoption of many policies, Country U entered in to an expansionary phase. Also an expansionary stage has been longer on average than a recession.

Answer 6

Chapter 12, Problem 1RQ

To determine

Describe recession and expansion.

Expert Solution & Answer

Explanation of Solution

When the economy is reach it peaks, the economic activities reach its heights. Then it begins to fall. In the period of recession, the economic activities go in a slow motion. This is because of the decreased employment, productivity, and money growth. However, the economy will survive the situation through the adoption of macroeconomic policies. Then the economic activities improve better than the recession period. Thus, it can be said that the beginning point of recession is a peak and it ends at the trough situation. Then the economy gradually moves to the expansion stage. In the post war period, due to the adoption of many policies, Country U entered in to an expansionary phase. Also an expansionary stage has been longer on average than a recession.

Answer 7

Chapter 12, Problem 1RQ

To determine

Describe recession and expansion.

Answer 8

Expert Solution & Answer

Explanation of Solution

When the economy is reach it peaks, the economic activities reach its heights. Then it begins to fall. In the period of recession, the economic activities go in a slow motion. This is because of the decreased employment, productivity, and money growth. However, the economy will survive the situation through the adoption of macroeconomic policies. Then the economic activities improve better than the recession period. Thus, it can be said that the beginning point of recession is a peak and it ends at the trough situation. Then the economy gradually moves to the expansion stage. In the post war period, due to the adoption of many policies, Country U entered in to an expansionary phase. Also an expansionary stage has been longer on average than a recession.