ECONOMICS (CBSE/UGC NET)

Detailed explanation-1: -What Are the Stages of an Economic Cycle? An economic cycle, which is also referred to as a business cycle, has four stages: expansion, peak, contraction, and trough.

Detailed explanation-2: -business cycle, the series of changes in economic activity, has four stages-expansion, peak, contraction, and trough.

Detailed explanation-3: -Expert-Verified Answer. Option D, cyclical changes is not a phase of trade cycle. whereas, cyclical changes can be short term or long term.

Detailed explanation-4: -In economic terms, slump usually refers to the beginning of a recession. A recession is not officially declared until several months of declining activity have passed, so the months leading up to the declaration of recession are simply described as a prolonged economic slump.