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Which phase of the business cycle is characterized by a decline in economic activity and increased unemployment?
  • a)
    Expansion
  • b)
    Peak
  • c)
    Contraction
  • d)
    Trough
Correct answer is option 'C'. Can you explain this answer?
Most Upvoted Answer
Which phase of the business cycle is characterized by a decline in eco...
The contraction phase of the business cycle is marked by a decline in economic activity and rising unemployment rates.
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