Question

pregunta 21 (4 puntos)
the low point in the business cycle is the __; while the high point in the business cycle is the __.
○ a expansion; contraction
○ b peak; trough
○ c contraction; expansion
○ d trough; peak

pregunta 22 (4 puntos)
the idea that consumers react to news and information and can actually cause problems to happen is the ____.
○ a consumer sovereignty theory
○ b rational expectations theory
○ c national inflation theory
○ d critical race theory

Explanation:

For Pregunta 21: The business cycle’s low point is called the trough, and the high point is the peak.
For Pregunta 22: Rational expectations theory states consumers react to news, shaping economic outcomes.

Answer:

d. trough; peak
b. rational expectations theory