What are the 4 phases of the business cycle
What are the 4 phases of the business cycle?
Expert
Four phases of the business cycle are identified over a several year period:
1. A peak is when business activity reaches a temporary maximum with full employment and near-capacity output.
2. A recession is a decline in total output, income, employment, and trade lasting six months or more.
3. The trough is the bottom of the recession period.
4. Recovery is when output and employment are expanding toward full employment level.
Can someone help me in finding out the right answer from the given options. The private sector is decomposed into: (1) Businesses and investors. (2) Households and stockholders. (3) Households and investors. (4) Businesses and households.
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