13 whereas inflation is a period of price increases

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Unformatted text preview: s increased 29 percent during the past 10 years while median family income rose 3 percent during the same period.13 Whereas inflation is a period of price increases, recession is a time of slow economic activity. Businesses decrease production, unemployment rises, and many consumers have less money to spend. The U.S. economy experienced recessions in the early 1970s, early 1980s, and early 1990s. The economy again entered a recessionary period from 2001 through 2003, and then began a period of growth.14 65 ker81063_ch03_058-077.indd Page 66 8/13/08 12:57:09 AM user ker81063_ch03_058-077.indd Page 66 8/13/08 12:57:09 AM user FIGURE 3–4 U.S. households have a large range of gross incomes. See the text for descriptions of gross, disposable, and discretionary incomes. /Volumes/203/MHBR060/ker10ch03 /Volumes/203/MHBR060/ker10ch03 Under $10,000: 9% $100,000 or more: 17% $10,000–$14,999: 7% $75,000–$99,999: 11% $15,000–$24,999: 12% $50,000–$74,999: 18% $25,000–$34,999: 11% $35,000...
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This document was uploaded on 01/30/2014.

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