A shortage of a natural resource can lead to which phase in the business cycle?

A. recovery

B. expansion

C. boom

D. recession

The right answer for the question that is being asked and shown above is that: "B. expansion." A shortage of a natural resource can lead to which phase in the business cycle: It is the expansion stage of the business cycle.

I believe the answer is: D. Recession

Recession refers to the period when the market experience a general slow down in economic activity. When there is a shortage in natural resources, the producers would have less material to make their products. This would cause the economic activity in the market to slow down