Question

Which option best describes how boom-and-bust cycles affect the Texas economy?(1 point)
Responses

During boom cycles, most people have more money, which they put into the economy. During bust cycles, many people lose their jobs and cannot put money into the economy.
During boom cycles, most people have more money, which they put into the economy. During bust cycles, many people lose their jobs and cannot put money into the economy.

During bust cycles, most people have more money, which they put into the economy. During boom cycles, many people lose their jobs and cannot put money into the economy.
During bust cycles, most people have more money, which they put into the economy. During boom cycles, many people lose their jobs and cannot put money into the economy.

During boom cycles, many people buy more houses, which puts money into the economy. During bust cycles, many people lose their jobs and cannot put money into the economy.
During boom cycles, many people buy more houses, which puts money into the economy. During bust cycles, many people lose their jobs and cannot put money into the economy.

During boom cycles, many people have more money, which they put into the economy. During bust cycles, many people sell property and goods to put money into the economy.

Answer 1

The best option that describes how boom-and-bust cycles affect the Texas economy is:

**During boom cycles, most people have more money, which they put into the economy. During bust cycles, many people lose their jobs and cannot put money into the economy.**

This option accurately reflects the dynamics of economic cycles, where increased financial stability and spending occur during boom periods, while job losses and reduced spending typically characterize bust periods.