Question

pregunta 1 (4 puntos)
the period of increased economic growth in the business cycle is called _; while the period of decreased economic growth is called _.
○ a contraction; trough
○ b expansion; contraction
○ c trough; contraction
○ d contraction; expansion

pregunta 2 (3 puntos)
a/an ___ is the ability of a person, company, or country to produce a greater quantity of goods and services than a competitor, using the same amount of inputs.
○ a comparative advantage
○ b absolute advantage
○ c corporate advantage
○ d statistical advantage

Explanation:

growth (rising GDP, employment, etc.). "Contraction" is a period of decreased economic growth (falling GDP, rising unemployment, etc.). Option a has contraction first (wrong for the first blank) and trough (trough is a low point, not the period of decrease). Option c has trough first (wrong). Option d swaps expansion and contraction. So option b is correct.

"Absolute advantage" is defined as the ability to produce more of a good/service than others with the same inputs. "Comparative advantage" is about lower opportunity cost. "Corporate advantage" and "statistical advantage" are not standard economic terms for this concept. So option b matches the definition.

Answer:

b. expansion; contraction

Pregunta 2