4 Phases of the Business Cycle

wealth

inflation

economic growth

5

4

3

2

rescessions

expansions

troughs

peak

contraction

expansion

above the trend line

at the end of a recession (trough)

at the "boom" period

trough, contraction, peak, recovery

trough, expansion, peak, contraction

peak, expansion, trough, recovery

peak, contraction, recovery, trough

Peak

Contraction/Recession

Trough

Expansion/Growth/Recovery

the ups and downs of an economy

series of stages in the economy as it expands and contracts.

the periodic growth and decline of a nation’s economy, measured mainly by its GDP (Gross Domestic Product).

All of the above