Answer the following questions: 1. What would you expect from GDP and the unemployment rate during Expansion/Prosperity? 2. What would you expect from GDP and the unemployment rate during Contraction/Recession? 3. What would you expect from GDP and the unemployment rate during Trough/Depression? 4. How is GDP related to the unemployment rate? 5. Why do you think GDP and the unemployment rate were selected as economic indicators to analyze the economy? 6. What major events could have occurred to cause a rise in economic activity? 7. What major events could have occurred to cause a decline in economic activity? 8. How does the government react to the business cycle at each stage? How does the state of Canada’s economy affect international businesses operating in Canada? 9. Do you believe the business cycle always occurs in regular intervals? Why or why not?
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