Question

When fewer goods are produced, workers are laid off, credit becomes difficult to obtain, and people cut back on their purchases even more, fearing unemployment. Eventually this produces a distrust of the economy, resulting in __________, which is a decline in an economy’s total production that lasts six months or longer.

Answer 1

Answer:

The answer is "RECESSION"

Explanation:

Recession is a significant declined in the economy that lasts at least 6 months or more. It implies that some economic indicators such as employment drops. During that period, economic activities fall.