The correct answer is D. During peak.
During peak point is when the business cycle will prices be highest.
Business cycle is termed as the movement of upward or downward of gross domestic product.
The period when there is contraction in a sequence and single boom. The four stages of business cycle include; trough, contraction, peak and expansion.
When it is at peak point, the economy is known to be producing the required allowable input and employment is above full.
When in contraction the unemployment increase. In expansion point there is increase in economic growth, upward pressure which is put in prices and also increase in employment.
The point at which product prices are at highest in a business cycle is the peak stage because maximum input are used.
A business cycle refers to the cyclical upswings and downswings of an economy in terms of its output, employment, income, sales etc
The 4 stages of business cycle includes:
Hence, the point at which prices would probably be highest in business cycle is the peak point because the production of input and employment are at highest.
Therefore, the Option D is correct.
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