Business cycles areA. alternating periods of expanding and contracting economic​ activity, which are usually illustrated using movements in real GDP.

B. all roughly the same in duration and severity.

C. alternating periods of smoothly expanding and contracting economic​ activity, which are usually illustrated using movements in nominal GDP.

D. alternating periods in which real GDP increases in an expansion to a business cycle trough and then decreases in a recession to a business cycle peak.

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Answer:

The answer is: A) Alternating periods of expanding and contracting economic​ activity, which are usually illustrated using movements in real GDP.

Explanation:

The stages of a business cycle (also known as economic cycle) are:

1. expansion: increase in the production and prices, economic growth
2. peak: economic growth hits its maximum rate
3. contraction: economic growth slows down and falls (recession), unemployment rises and prices stagnate
4. trough: the economy hit its lowest point and starts to grow back again through a new expansion stage

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