Relating the Business Cycle to the Romance Cycle
“ You look good. You look verrrry good.” Relating Business Cycle To Romance Cycle 1 st date Jealousy sets in Gets engaged She goes off to college. H e uses the meeting line on unsuspecting freshmen girls You decide to get married Wedding March for women Death March for men Baby-5 months later But – he does nothing but make loud noises at one end , and has no discipline at the other end . You become a happy family One loses a job But with education a job is gained as well as a new house Must have good “meeting line” to get the first date.
Peak Trough Expansion Real GDP per year Peak: real GDP reaches its maximum. Recession: real GDP declines 6 months. Expansion: an upturn - real GDP rises. Trough: real GDP reaches its minimum. Recession Time Peak Four Phases of the Business Cycle [Have averaged five years] Expansion One Cycle
Recent Business Cycles Peak July, 1981 Trough Nov., 1982 Peak July, 1990 Trough April, 1991 Peak March, 2001 Trough June, 2001 Spring, 2007 Expansion-8 years Contraction [Recession] Expansion-10 years Contraction [Recession] Expansion
At President Reagan’s funeral, Bill and Hillary were both seen dozing off. President Reagan, who never missed a chance for a good one-liner, raised his head from the casket and said, “ I see the Clintons are finally sleeping together.”