the problems in the bust phase of contraction is _ * 1 point unemployment declining economic growth…

the problems in the bust phase of contraction is _ * 1 point unemployment declining economic growth inflation if government increases spending which is true * 1 point deficit increases leading to an increase in debt surplus increases leads to a decrease in debt deficit increases leads to a decrease in debt deficit decreases leads to an increase indebt

the problems in the bust phase of contraction is _ * 1 point unemployment declining economic growth inflation if government increases spending which is true * 1 point deficit increases leading to an increase in debt surplus increases leads to a decrease in debt deficit increases leads to a decrease in debt deficit decreases leads to an increase indebt

Answer

Brief Explanations:

In the bust - phase of contraction, economic activity slows down, leading to unemployment and declining economic growth. Inflation is not typical in this phase. When the government increases spending, if revenues don't change proportionally, the deficit (government spending - government revenue) increases. To finance the deficit, the government borrows more, increasing debt.

Answer:

  1. unemployment, declining economic growth
  2. deficit increases leading to an increase in debt