+1 (218) 451-4151 info@writersnest.org

Business cycles affect all individuals within the population. Whether as part of the general public, consisting of customers and consumers, or as part of the world of business, from small local companies to large multi-national organisations.
Obviously, all governments aim for economic growth within societies, in order to achieve national progression. This can include various factors such as high levels of employment, investment and general business confidence. However, things do not always turn out as planned. For example, if economic growth slows down, this can have severe consequences, such as rising levels of unemployment, decreased consumer spending, and eventually bankruptcy of expendable businesses.
In this assignment, I will explain the nature, causes and implications of the business cycle, by addressing the four stages individually.
The theory of business cycles actually began a long time ago with the idea of “long waves” (Reijnders, 1990), and Kondratieff was one of the initial economists to enforce this principle. He believed that the ”duration of the long wa…
… middle of paper …