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Below is a time series of the GDP of France from 1970 until 2008.
As you can see the French GDP seems to never be in the same place twice or, at least, has not held a steady course in the last 38 years. This is common when looking at GDP time series from different economies. It is clear that the business cycles for the last four decades shows that France has experienced many economic ‘booms’ and has also experienced many recessions. The booms can be explained by looking at certain macroeconomic models.
Above you will see a copy of the aggregate supply and demand model. I am using this as an example to show how the GDP can be affected...
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