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Business
Cycle
Presented by : Bakkaprabhu Uppar
M.Com : Managerial Economics
GFGC Naubad Bidar
Seminar : Preview
• Knowing "Business Cycle"
• Definition
• Types
• Phases
• Measures to Control
• Impacts of Business Cycle
The business cycle is also known as trade cycle or
economic cycles. Business cycle refers to fluctuations in
economic activities specially in employment, output and
income, prices, profits etc.
Meaning :
Definition :
• According to Keynes “A business cycle is composed of periods of good
business characterized by rising prices and low unemployment
percentages altering with periods of bad trade characterized by falling
prices and high employment percentages”.
Types of Business Cycle
• Short Time Cycle: This business cycle occur for a short period of time. It
is also known as minor cycle. It lasts for about 3-4 years.
• Long Time Cycle : This trade cycle occur for a long period of time. It is
also known as secular trend or major cycle. It lasts for about 4-8 years.
• Irregular Fluctuations : This trade cycle are unpredictable and occur
during a period of strikes, war, etc.
• Seasonal Fluctuations :This fluctuations take place due to seasonal
changes in the economy.
• Cyclical Fluctuation : These fluctuations are wave like changes in the
activity caused by expansion and contraction.
Phases of Business Cycle :
• Expansion
• Peak
• Recession
• Depression
• Trough
• Recovery
Measures to Control
1. Monetary Policy
2. Fiscal Policy
3. State Control of Private Investment
4. International Measures to Control of Business Cycle Fluctuation
5. Re-organizaton of Economic System
Impacts of Business Cycle
• External Factors :
(1) Wars
(2) Post War Reconstruction
(3) Technology
(4) Natural Factors
• Internal Factors :
(1) Fluctuations in Effective Demand
(2) Fluctuations in Investments
(3) Variations in government spending
(4) Money Supply
(5) Monetary and Fiscal Policies
(6) Psychological Factors
I END MY
SEMINAR
Thank you so much

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Business Cycle Presentation by Bakkaprabhu Uppar.pptx

  • 1. Business Cycle Presented by : Bakkaprabhu Uppar M.Com : Managerial Economics GFGC Naubad Bidar
  • 2. Seminar : Preview • Knowing "Business Cycle" • Definition • Types • Phases • Measures to Control • Impacts of Business Cycle
  • 3. The business cycle is also known as trade cycle or economic cycles. Business cycle refers to fluctuations in economic activities specially in employment, output and income, prices, profits etc. Meaning :
  • 4. Definition : • According to Keynes “A business cycle is composed of periods of good business characterized by rising prices and low unemployment percentages altering with periods of bad trade characterized by falling prices and high employment percentages”.
  • 5. Types of Business Cycle • Short Time Cycle: This business cycle occur for a short period of time. It is also known as minor cycle. It lasts for about 3-4 years. • Long Time Cycle : This trade cycle occur for a long period of time. It is also known as secular trend or major cycle. It lasts for about 4-8 years. • Irregular Fluctuations : This trade cycle are unpredictable and occur during a period of strikes, war, etc.
  • 6. • Seasonal Fluctuations :This fluctuations take place due to seasonal changes in the economy. • Cyclical Fluctuation : These fluctuations are wave like changes in the activity caused by expansion and contraction.
  • 7. Phases of Business Cycle : • Expansion • Peak • Recession • Depression • Trough • Recovery
  • 8. Measures to Control 1. Monetary Policy 2. Fiscal Policy 3. State Control of Private Investment 4. International Measures to Control of Business Cycle Fluctuation 5. Re-organizaton of Economic System
  • 9. Impacts of Business Cycle • External Factors : (1) Wars (2) Post War Reconstruction (3) Technology (4) Natural Factors
  • 10. • Internal Factors : (1) Fluctuations in Effective Demand (2) Fluctuations in Investments (3) Variations in government spending (4) Money Supply (5) Monetary and Fiscal Policies (6) Psychological Factors
  • 11. I END MY SEMINAR Thank you so much