What Is Business Cycle? Meaning & Example
Definition
The business cycle is the recurring pattern of expansion, peak, contraction and recovery in an economy. Cycles vary greatly in length and intensity.
Related terms
A recession is a significant, widespread decline in economic activity lasting more than a few months. It often brings rising unemployment and falling business profits.
GDP (Gross Domestic Product)GDP is the total value of goods and services produced in an economy over a period. It is the broadest measure of economic size and growth.
Bull MarketA bull market is a period when prices are rising broadly and investor confidence is strong. It is often described as a rise of 20% or more from a recent low.
What is Business Cycle?
The business cycle is the recurring pattern of expansion, peak, contraction and recovery in an economy. Cycles vary greatly in length and intensity.
Can you give an example of Business Cycle?
After a recession ends, the economy typically enters a recovery phase as jobs and spending pick up.