Business cycle is, metaphorically, something like a climate change for the economics: you can’t defeat them or change them, but you can adjust your business strategy to the current phase of the business cycle and get prepared for the next stage.
Business strategies are also the great potential topic for the research paper: despite the incredible diversity of the products and services, the successful strategies are limited and mostly based on the unchangeable traits of human nature and society in general.
Studying, combining and improving these strategies is one of the main directions of economic science.
- The economy tend to move from boom to recession, it is difficult for government to maintain and achieve macroeconomics objectives.
Using models of growth on a country wide basis, Lucas is able to track the rate at which nations become industrialized, and the growth rate of the average income once industrialization has taken place.
In doing so, he has come to the conclusion that the average rate of growth among industrialized nations is around 2% for the last 30 years, but is higher the closer the nation is to the point in time that it first industrialized....(Investopedia.com, 2015) However, microeconomics and macroeconomics are interdependent and complement each other....[tags: Macroeconomics Essay] - Macroeconomics focuses on the behavior of the economy as a whole, and in the housing market the law of supply and demand is prominent.[tags: Inflation, Macroeconomics, Monetary policy] - As we all known, banks are one of the major financial institutions in the market, affecting the making of different macro policies.Bank’s capital can be known as the bank’s own funding.It also can be considered as the difference between the total value of assets and liabilities.(FARAG, M, 2013)The capital is used for taking up loss which was created in some special circumstance such as financial crisis.[tags: Economic growth, Economics, Economic development] - 1.) According to the Macroeconomics textbook, a market cycle is a sequence of cycles of economic expansion and contraction.The first phase of the market cycle is the contraction stage where the economy begins to decline because of the reduction of productivity and employment, in other words a recession occurs.Economic belongs to the type of sciences that are based on loads and loads of data, statistics and calculations.To formulate the methods that allow to predict economic processes economic scientists need years of observation and analysis.