Business cycles Prosperity is characterized by a series of phases that are more-or-less predictable in occurrence but not necessarily in timing or intensity. In the United States , since the 1930s, government intervention has been used to try to influence the timing and help dampen the intensity of business cycles. This is the turning point or decisive moment that marks the collapse of a period of prosperity, rising prices, increasing shortages, and considerable speculation in the expectation that prices will rise faster.