Which of the following are classified as external shocks to an economy?

  On the diagram of the stereotypical business cycle, the trough is represented by:

Which of the following suggests that lower average prices make it more difficult to cover interest payments and other costs of doing business, causing firms to reduce production?

During a serious recession, we would expect output and employment to fall the most in the:

  What was the Unemployment Rate (UNE%) for Year 2009?

Suppose the University of Michigan’s Survey of Consumers reports a three consecutive month increase in measures of consumer confidence in the health of America’s economy. How will the US economy be impacted by this event?

  On the diagram of the stereotypical business cycle, the expansionary phase is represented by:

In mid-January of this year, Al Bundy lost his job as a salesman at a local shoe store. The Christmas shopping season had recently ended and most of the gift returns and exchanges had been processed. The owner of the shoe store told Al that his labor services were no longer needed. Which type of unemployment best describes Al’s situation?

Brandon Walsh is having difficulty finding a new job. Many of the available jobs require a prospective employee to possess at least a 4-year college degree in a related field of study. Brandon graduated from high school, spent two semesters taking classes at community college, but never earned a college degree. Which type of unemployment best describes Brandon’s situation?

According to the diagram of the stereotypical business cycle, when the economy enters into a period of contraction, we observe: