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How is business cycle essential in economic downturns and upturns?
The Business Cycle:
It is the short-run alternation between economic upturns and downturns.
A depression is an extremely deep and prolonged downturn.
Recessions: This is period of economic downturns while output and employment are reducing.
Expansions, sometimes termed as recoveries, these are periods of economic upturns while output and employment are increasing.
The Great Depression
The Great Depression precipitated through rethinking of macroeconomics, that gave ascend to modern macroeconomics.
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