If the GDP Has Decreased in the Last Two Years

Multiple Choice

If the GDP has decreased in the last two years, which of the following is likely true?

A) The economy is in a recession and unemployment rate is decreasing.
B) The economy is in a recession and the unemployment rate is increasing.
C) The economy is in a recovery phase and the unemployment rate is decreasing.
D) The economy is in a contraction phase and the CPI is decreasing.