Question

What are the 4 stages of economic activity?

Answer 1

The four stages of the economic cycle are also referred to as the business cycle. These four stages are expansion, peak, contraction, and trough. During the expansion phase, the economy experiences relatively rapid growth, interest rates tend to be low, production increases, and inflationary pressures build.

Answer 2

sᴛᴀɢᴇs ᴏғ ᴛʜᴇ ᴇᴄᴏɴᴏᴍʏ. ᴇᴄᴏɴᴏᴍɪᴄ ᴄʏᴄʟᴇs ᴀʀᴇ ɪᴅᴇɴᴛɪғɪᴇᴅ ᴀs ʜᴀᴠɪɴɢ ғᴏᴜʀ ᴅɪsᴛɪɴᴄᴛ ᴇᴄᴏɴᴏᴍɪᴄ sᴛᴀɢᴇs: ᴇxᴘᴀɴsɪᴏɴ, ᴘᴇᴀᴋ, ᴄᴏɴᴛʀᴀᴄᴛɪᴏɴ, ᴀɴᴅ ᴛʀᴏᴜɢʜ. ᴀɴ ᴇxᴘᴀɴsɪᴏɴ ɪs ᴄʜᴀʀᴀᴄᴛᴇʀɪᴢᴇᴅ ʙʏ ɪɴᴄʀᴇᴀsɪɴɢ ᴇᴍᴘʟᴏʏᴍᴇɴᴛ, ᴇᴄᴏɴᴏᴍɪᴄ ɢʀᴏᴡᴛʜ, ᴀɴᴅ ᴜᴘᴡᴀʀᴅ ᴘʀᴇssᴜʀᴇ ᴏɴ ᴘʀɪᴄᴇs.