Business cycles, Macroeconomics


Business Cycles 

Economic growth is not a continuous process. Superimposed on the long-term trends are short-term fluctuations in the levels of economic activity and\or in growth rates. These upswings and downswings are of varying duration and intensity and are referred to as 'cycles'. Governments attempt to smooth out these fluctuations with the use of contra-cyclical monetary and fiscal policies. The latest developments in macroeconomic thought regard business cycles as the central (if not the only) problem of macroeconomics. 


Posted Date: 9/11/2012 7:11:57 AM | Location : United States

Related Discussions:- Business cycles, Assignment Help, Ask Question on Business cycles, Get Answer, Expert's Help, Business cycles Discussions

Write discussion on Business cycles
Your posts are moderated
Related Questions
a.  State concisely, in your own words, the essence i.of what GDP measures and ii.what GDP doesnot measure.  b.  Stocks and bonds issued by firms comprise the "Investment" co

Shortage, Surplus and Price Mechanism: A shortage is the situation in which the demand exceeds supply, which means producers are unable to meet the market demand for the produc

how do i calculate how much the gorverment should spend if the MPC is 0.8 and 200million is requered to reach full employment ?

A restaurant/bar is analyzing its pricing of beer. It has determined that the price elasticity of demand for beer is 0.8, the cross-price elasticity for wine with respect to the pr

The Concept of Taxation is explained below: Taxes are the general purpose, compulsory contributions by people to the public treasury (or national exchequer) to meet the expendi

Q. Explain the classical motivation? The classical motivation: Consumers want to smooth their consumption over time. In good times, consumers know that it is a temporary stat

According to Keynes, the economy could become stuck at a low income level if: A. aggregate demand and aggregate supply are independent of one another. B. declines in aggregate dema

Difference between mec and mei.

Explain the notion of the hidden momentum of population growth. Why is this an important concept for projecting future population trends in different developing nations?

Q. Evaluate Nominal wages? Nominal wages W = (W/P).P The nominal wage is equal to the real wage times the price level. Because the real wag