The business cycle exists because
A. exports and imports do not always increase and decrease at the same rate which causes cyclical movements in net exports.
B. total production experiences periods of increases and periods of decreases.
C. the price level tends to increase over some periods and decrease over others.
D. there are changes in the level of government expenditures, sometimes they increase and sometimes they decrease.
Answer: B. total production experiences periods of increases and periods of decreases.