Business Cycle Diagram Economics. It implies the increase in business activity after the lowest point of the depression has been. Below is a more detailed description of each stage in the business cycle.
Business cycles are identified as having four distinct phases. A peak is the highest point of the business cycle when the economy is producing at maximum allowable output employment is at or above full employment and inflationary pressures on prices are evident. There is not always a chronological linear progression among the phases of the business cycle and there have been cycles when the economy has skipped a phase or retraced an earlier one.
The business cycle moves about the line.
Business cycles are identified as having four distinct phases. An expansion is characterized by increasing employment economic growth and upward pressure on prices. Stages of the business cycle. A peak is the highest point of the business cycle when the economy is producing at maximum allowable output employment is at or above full employment and inflationary pressures on prices are evident.
