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In the business cycle, what always follows immediately after a contraction?

2 Answers

7 votes

Answer:

D. Trough

Step-by-step explanation:

A trough always immediately follows a contraction. A recession may exist with a contraction, in that it lasts at least 2 quarters.

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User Adriene
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It would be a trough that succeeds immediately after a contraction in a business cycle. Furthermore, it is called a "local minima" wherein it becomes one of the lowest points taking place in a business cycle. What happens the through would be expansion wherein the business comes to rise again.

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