Question

An economy grows, reaches a peak, then begins a downturn, followed by a period of negative growth (a contraction), that ends in a trough before the next upturn. These ups and downs in an economy are often referred to as __________. A. booms
B. contractions
C. business cycles
D. recession and inflation

Answer 1

These ups and downs in an economy are often referred to as business cycles. The correct option among all the options that are given in the question is the third option or option "C". The other choices can be negated. I hope that this is the answer that has actually come to your great help.