Which statement best explains the relationship between points A and B?

a. Consumption reaches its highest point, and then supply begins to fall.
b. Inflation reaches its highest point, and then the economy begins to expand.
c. Production reaches its highest point, and then the economy begins to contract.
d. Unemployment reaches its highest point, and then inflation begins to decrease.

Question

Which statement best explains the relationship between points A and B?

a. Consumption reaches its highest point, and then supply begins to fall.
b. Inflation reaches its highest point, and then the economy begins to expand.
c. Production reaches its highest point, and then the economy begins to contract.
d. Unemployment reaches its highest point, and then inflation begins to decrease.

pinkroses15 · Answer

attachment

anonymous · Answer

I'll guess it's C.
It can't be B or D because those would result in higher... whatever it is in the graph.
A doesn't make much sense.

pinkroses15 · Answer

@nphuongsun93   You were right. Thank you :)