ECONOMICS (CBSE/UGC NET)

Detailed explanation-1: -Economic recovery is the business cycle stage following a recession that is characterized by a sustained period of improving business activity.

Detailed explanation-2: -Recovery. After the trough, the economy moves to the stage of recovery. In this phase, there is a turnaround in the economy, and it begins to recover from the negative growth rate.

Detailed explanation-3: -A boom refers to a period of increased commercial activity within either a business, market, industry, or economy as a whole. For an individual company, a boom means rapid and significant sales growth, while a boom for a country is marked by significant GDP growth.

Detailed explanation-4: -Measuring and Dating Business Cycles An expansion begins at the trough (or bottom) of a business cycle and continues until the next peak, while a recession starts at that peak and continues until the following trough.

Detailed explanation-5: -The business cycle goes through four major phases: expansion, peak, contraction, and trough. All economies go through this cycle, though the length and intensity of each phase varies. The Federal Reserve helps to manage the cycle with monetary policy, while heads of state and governing bodies use fiscal policy.