Download - Chapter 12.2 Business Cycles
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Chapter 12.2 Business Cycles
Four Phases of the Business Cycle
Expansion/Recovery
Peak -
Contraction/Recession
Trough -
What is the long term trend in GDP?
BUSINESS CYCLE GRAPH
REAL
GDP
TIME
LONG TERM TREND
![Page 2: Chapter 12.2 Business Cycles](https://reader036.vdocuments.us/reader036/viewer/2022082712/56813aab550346895da2a4ad/html5/thumbnails/2.jpg)
Chapter 12.2 Business Cycles
Four Phases of the Business Cycle
Expansion
/Recovery
Peak
Contraction
/Recession
Trough -
What is the long term trend in GDP?
BUSINESS CYCLE GRAPH
REAL
GDP
TIME
LONG TERM TREND
-a period of increased output and employment. Full employment may be reached and price levels may be increasing.
Exp
ansi
on
Exp
ansi
on
Exp
ansi
on
![Page 3: Chapter 12.2 Business Cycles](https://reader036.vdocuments.us/reader036/viewer/2022082712/56813aab550346895da2a4ad/html5/thumbnails/3.jpg)
Chapter 12.2 Business Cycles
Four Phases of the Business Cycle
Expansion /Recovery
Peak
Contraction /Recession
Trough
What is the long term trend in GDP?
BUSINESS CYCLE GRAPH
REAL
GDP
TIME
LONG TERM TREND
- a period of increased output and employment. Full employment may be reached and price levels may be increasing.
Exp
ansi
on
Exp
ansi
on
Exp
ansi
on
- a temporary maximum level of output, usually characterized by high inflation and low unemployment
Peak
Peak
![Page 4: Chapter 12.2 Business Cycles](https://reader036.vdocuments.us/reader036/viewer/2022082712/56813aab550346895da2a4ad/html5/thumbnails/4.jpg)
Chapter 12.2 Business Cycles
Four Phases of the Business Cycle
Expansion/Recovery
Peak
Contraction/Recession
Trough
What is the long term trend in GDP?
BUSINESS CYCLE GRAPH
REAL
GDP
TIME
LONG TERM TREND
-a period of increased output and employment. Full employment may be reached and price levels may be increasing.
Exp
ansi
on
Exp
ansi
on
Exp
ansi
on
- a temporary maximum level of output, usually characterized by high inflation and low unemployment
Peak
Peak
- a period of decline in total output, income, employment, and trade lasting 6 months or longer.
Contraction
Contraction
![Page 5: Chapter 12.2 Business Cycles](https://reader036.vdocuments.us/reader036/viewer/2022082712/56813aab550346895da2a4ad/html5/thumbnails/5.jpg)
Chapter 12.2 Business Cycles
Four Phases of the Business Cycle
Expansion /Recovery
Peak
Contraction/Recession
Trough
What is the long term trend in GDP?
BUSINESS CYCLE GRAPH
REAL
GDP
TIME
LONG TERM TREND
- A period of increased output and employment. Full employment may be reached and price levels may be increasing.
Exp
ansi
on
Exp
ansi
on
Exp
ansi
on
- A temporary maximum level of output, usually characterized by high inflation and low unemployment.
Peak
Peak
- A period of decline in total output, income, employment, and trade lasting 6 months or longer.
Contraction
Contraction
- The lowest level of output and employment within a cycle. Inflation is typically very low.
Trough
Trough