Business Cycle

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Title: Business Cycle

Essay Details:

Subject: Miscellaneous

Author: John B

Date: December 31, 2015

Level:

Grade:

Length: 3 / 749

Essay text:

Production costs can increase, helping create a rise in prices, and consumers buy less. Inventories accumulate, causing price declines. Manufacturers begin to diminish; workers are laid off. Such factors lead to a period of liquidation, and money is hoarded, not invested. Production cutbacks and factory shutdowns occur. Unemployment becomes widespread. A depression is in progress. Recovery may be initiated by a reawakening in consumer demand or government action to stimulate the economy. Prices rise more rapidly than costs. Employment increases, and people buy more. Investment expands. A new cycle is under way...

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