ECONOMICS
BUSINESS CYCLES
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Detailed explanation-1: -Key Points. The economic cycle generally comprises four phases: expansion, peak, contraction, and recovery.
Detailed explanation-2: -An economic cycle, which is also referred to as a business cycle, has four stages: expansion, peak, contraction, and trough.
Detailed explanation-3: -The four phases of the business cycle are peak, recession, trough, and expansion. Business cycle lengths vary.
Detailed explanation-4: -main factors contribute to changes in the business cycle: business decisions; interest rates; consumer expectations; and external issues. When businesses increase production, they increase aggregate supply and help fuel an expansion.
Detailed explanation-5: -A business cycle is the repetitive economic changes that take place in a country over a period. It is identified through the variations in the GDP along with other macroeconomics indexes. The four phases of the business cycle are expansion, peak, contraction, and trough.