Answer:
1. when an economy expands, there is generally a period of prosperity and growth, see in a trend of business, increase in population, and employment, which in turn increases the incomes of households. Example: high GDP, increased unemployment, income growth.
2. Drop in household incomes, decreased per capita income, higher rates of unemployment, the likelihood of a recession.
3. It is defined as a sustained, significant period of weak growth in GDP, economic decline, and soaring unemployment rate.
Explanation:
The economy is moving out of recession. Money is cheap to borrow, businesses build up inventories again and consumers start spending. GDP rises, per capita income, grows, unemployment declines, and equity markets generally perform well. Peak: The expansion phase eventually peaks.
During a recession, the economy struggles, people lose work, companies make fewer sales and the country's overall economic output declines.
A recession can be defined as a sustained period of weak or negative growth in real GDP (output) that is accompanied by a significant rise in the unemployment rate. Many other indicators of economic activity are also weak during a recession.
Learn more about What are the results when an economy retracts? here: https://brainly.com/question/1417711
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