Business Cycle Graph Labeled

In graph theory a cycle graph or circular graph is a graph that consists of a single cycle or in other words some number of vertices at least 3 if the graph is simple connected in a closed chain the cycle graph with n vertices is called c n the number of vertices in c n equals the number of edges and every vertex has degree 2.

Business cycle graph labeled. Label the four phases of the business cycle in the graph below. At some point gnp reaches its upper turning point and the downswing of the cycle begins. Diagram of four phases of business cycle the four phases of business cycles are shown in the following diagram the business cycle starts from a trough lower point and passes through a recovery phase followed by a period of expansion upper turning point and prosperity.

A slowdown in the pace of economic activity defined by low or stagnant growth high unemployment and declining prices. On a separate sheet of paper draw and label the parts of a business cycle using the vocabulary terms dissed in module 2. The different phases of a business cycle as shown in figure 2 are explained below.

A typical business cycle has two phases ex pansion phase or upswing or peak and con traction phase or downswing or trough. Business cycles are identified as having four distinct phases. These are measured in.

The upswing or expansion phase exhibits a more rapid growth of gnp than the long run trend growth rate. The upper turning point of a business cycle and the point at which expansion turns into contraction. In the expansion phase there is an increase in various economic factors such as production employment output wages profits demand.

Expansion peak contraction and trough. An expansion is characterized by increasing employment economic growth and upward pressure on prices. Business cycle the term business cycle refers to different phases in the growth of output and income of an economy.

A speedup in the pace of economic activity defined by high growth low unemployment and increasing prices the period marked from trough to peak. The line of cycle that moves above the steady growth line represents the expansion phase of a business cycle. The time period to complete this sequence is called the length of the business cycle.