Question

What are the causes of a recession? What happens to a county's output and prices after a recession has ended? Write 3-5 sentences.(4 points)

Answer 1

[AI-generated answer — Bot GPT 3.5]

There are several potential causes of a recession, including a decrease in consumer spending, a decline in business investment, a decrease in government spending, or an external shock such as a natural disaster or geopolitical event. After a recession has ended, a country's output typically begins to increase as economic activity picks up and businesses start investing again. Prices may also start to rise as demand for goods and services increases, leading to inflation. Ultimately, the recovery phase after a recession can vary depending on the specific circumstances and policies implemented by the government.