Question

Draw a diagram of the phases of a business cycle and label each phrase. Explain how...

Draw a diagram of the phases of a business cycle and label each phrase. Explain how the economy moves from one phase to another. Define recession and expansion.

Business   Economics   
0 0
Add a commentTranscribed image text
Next >

Homework Answers

Answer #1

Business cycle has four phases.

  1. Expansion
  2. Peak
  3. Contraction ( recession )
  4. Trough
  • Expansion will be characterised with a higher level of employment, economic growth, and the production will be maximum with the given resources. Prices also rise in this phase. The standard of living of people is also very high.
  • Peak is the highest point of the business cycle. It will be characterised with maximum allowable output. Employment will be at its peak.
  • Recession also known as contraction, acts as a correction phase for the peak phase. It is characterised with unemployment, slow economic growth, etc. A fall in GNP is also experienced.
  • Trough is the phase followed by the contraction phase. It is the lowest level of economic activity. Following this trough phase, an expansion phase will occur.
0 0
Know the answer?
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Log In

Sign Up

Not the answer you're looking for?
Ask your own homework help question
Similar Questions
1.Define economic growth. 2,List the phases of the business cycle. 3.In which phase of the business...
1.Define economic growth. 2,List the phases of the business cycle. 3.In which phase of the business cycle is unemployment at its highest? Where in the business cycle is it the lowest? 4.In which phase of the business cycle is inflation a possible problem? 5.Give two definitions of recession. 6.A good that is produced but not sold is still counted in GDP using the expenditure approach to computing GDP. Do you agree or disagree with this statement? Explain your answer.
What are the different phases of the business cycle, and how are production and employment affected...
What are the different phases of the business cycle, and how are production and employment affected in each phase?
1. Concerning the four phases in the economic cycle, above B shows an economic what? -trough...
1. Concerning the four phases in the economic cycle, above B shows an economic what? -trough -peak -recession 2. The point of a fluctuation at which an economy turns from a recession to an expansion is called a ________. -depression -trough -disinflation 3. Concerning the four phases in the economic cycle, above C shows an economic what? -expansion -recession -peak
1. What are the 4 phases of the business cycle? 2. How long does a business...
1. What are the 4 phases of the business cycle? 2. How long does a business cycle last? 3. What causes each phase? 4. How does the size of the multiplier relate to the size of the marginal propensity to consume? 5. Does this relationship have any relationship to economic policy?
Draw the sales line and the profit line of the product life cycle in a diagram.  Label...
Draw the sales line and the profit line of the product life cycle in a diagram.  Label each line.  Indicate the names of the four stages of the product life cycle and DISCUSS in detail each stage of the PLC.
. Explain how the G1 Checkpoint in response to DNA damage works. Draw a diagram that...
. Explain how the G1 Checkpoint in response to DNA damage works. Draw a diagram that indicates the proteins involved in this checkpoint and explain their roles in this process. Be sure to include all steps from the DNA damage to the arrest of the cell cycle. Please draw and label the diagram
Draw a diagram of a typical BDP flame above an AP/HTPB composite propellant. Label each flame,...
Draw a diagram of a typical BDP flame above an AP/HTPB composite propellant. Label each flame, and include the position of the AP and HTPB in the condensed phase.
Consider a vapor refrigeration cycle. a: Draw a T-s diagram in a Reversed Carnot Cycle and...
Consider a vapor refrigeration cycle. a: Draw a T-s diagram in a Reversed Carnot Cycle and describe what kinds of problems it has if we use the mixture of liquid and vapor as its working fluid. b: Draw a T-s diagram in the ideal Refrigeration cycle and label each process explicitly. c: There are Cascade and Multipurpose refrigeration systems to improve the ideal refrigeration system. Describe their cycles explicitly and compare their differences. d: Discuss the current status of existing...
Please answer both Questions 1- Draw a generic phase diagram, presuming no supercritical fluid. Label the...
Please answer both Questions 1- Draw a generic phase diagram, presuming no supercritical fluid. Label the diagram, including the triple point and phase boundaries. If I have 251 g of a sample of water at standard atmospheric pressure and -11.2°C, and apply 103 kJ of heat, what overall phase transition, if any, will occur? Justify your answer, and label it on your diagram. 2-  Give the three primary polymeric biological compounds which form from organic monomers; what significance do each of...
The phase of the business cycle in which output is highest relative to its potential level...
The phase of the business cycle in which output is highest relative to its potential level is the Trough. Expansion. Peak. Recession. Trend. The phase of the business cycle in which output is lowest relative to its potential level is the Trough. Expansion. Peak. Recession. Trend. The level of real national output purchased at each price level is called A Production Possibilities Curve. An aggregate demand curve. An aggregate supply curve. A market demand curve. A derived demand curve
ADVERTISEMENT
Need Online Homework Help?

Get Answers For Free
Most questions answered within 1 hours.

Ask a Question
ADVERTISEMENT