If the Economy Is in the Expansionary Phase of the Business

Multiple Choice

If the economy is in the expansionary phase of the business cycle, aggregate demand ______, unemployment _____, inflation _____, and the current account of the balance of payments is likely to move towards_____.

A) rises; falls; rises; deficit
B) falls; rises; falls; surplus
C) is static; is low; rises; deficit
D) falls; falls; falls; surplus