Question

if an economy is experiencing a cyclical downturn and output does not return to the secular growth trend, the economy is said to be experiencing ______.

Answer 1

If an economy is experiencing a cyclical downturn and output does not return to the secular growth trend, the economy is said to be experiencing structural stagnation.

What is structural stagnation?

This stagnation is attached to economies that are matured and it occurs when growth rate do the economy decreases rather than increasing.

The population may be decreasing and yet the country is experiencing stagnation.

Therefore, If an economy is experiencing a cyclical downturn and output does not return to the secular growth trend, the economy is said to be experiencing structural stagnation.

Learn more on stagnation below,

brainly.com/question/1247282

#SPJ12