4 phases of business cycle within an economy
Contraction when the economy is moving at slow pace Trough- when contraction turn into expansion it that point is trough The four phases of the business cycle are prosperity, recession, depression, and recovery. Both business decisions and consumer buying patterns differ at each stage of the business cycle. Most economists believe that society is capable of preventing future depressions through effective economic policies. Thus, a 4 phases of business cycle within an economy
recession would be followed by an economic recovery.