Question

What forces might turn an economic bust into an economic boom?(examples) What forces might put an end to the boom?

Answer 1

The boom and bust in the business cycle show the expansion and contraction of the period. At the time of expansion, both goods, services and labor would occur. This surplus will lead to a fall in product prices in the economy. If the product price is lower, then the consumer will purchase more goods and services. The consumers are purchased all the goods and services produced at the full employment level incur the economic boom. It will also further improving economic condition and increasing the economic boom. On the same way, the lower prices of goods and services lead to the investor should rethink about their investment plans. So the decrease in investment would lead to economic boom to economic bust