Which of the following best describes the economic conditions during bad trade in a business cycle?

CA Foundation · Business Economics · PYQS · September 2025
Which of the following best describes the economic conditions during bad trade in a business cycle?
(A) A. Rising prices and low unemployment rate.
(B) B. Falling prices and high unemployment rate.
(C) C. High consumer confidence and rising wages.
(D) D. Increasing demand and production.

Suggested Answer and Working Notes:

Correct Answer: Option (B)

B. Falling prices and high unemployment rate.

Topics: Business Cycles

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