Question

pregunta 11 (2 puntos)
the low point in the business cycle is the __; while the high point in the business cycle is the __.
a peak; trough
b contraction; expansion
c trough; peak
d expansion; contraction

pregunta 12 (1 punto)
____ money basically only has value because the government says it has value.
a intrinsic
b commodity
c fiat
d representative

Explanation:

• Pregunta 11: In business cycle terminology, the trough is the lowest point of economic activity, while the peak is the highest point before a contraction begins.
• Pregunta 12: Fiat money has no inherent intrinsic value; its worth is solely backed by the government's declaration and public trust in that authority, unlike commodity, representative, or intrinsic value money.

Answer:

Pregunta 11: c. trough; peak
Pregunta 12: c. fiat