ECONOMICS
ECONOMIC GROWTH
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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to provide a record of what has gone wrong in the past
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to try to predict what will happen to the U.S. economy
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to help maintain competitive balance between businesses
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to give the government a competitive advantage over businesses
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Detailed explanation-1: -why does the government track and seek to influence business cycles? to promote economic growth and stability.
Detailed explanation-2: -Why Business Cycle Phases Matter. Understanding business cycles allows owners to make informed business decisions. By keeping a finger on the economy’s pulse and paying attention to current economic projections, they can speculate when to prepare for a contraction and take advantage of the expansion.
Detailed explanation-3: -Businesses use economic forecasts to plan their operating activities. If the growth in GDP is expected to be strong, they can expect to have more disposable income, and they may decide to ramp up their capital expenditures. Government entities use forecasts to plan their policy-making efforts as well.