Business Cycle Refers To

Just as there is no regularity in the timing of business cycles, there is no reason why cycles have to occur at all. The dominating view among economists is that there is a level of economic activity, often denoted to as full employment, at which the economy could stay forever. Full employment refers to a level of production in which all the inputs to the production process are being used, but not so intensively that they wear out, break down.

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