Study the parts of the business cycle in economics: expansion, peak, recession, and trough. Related to this QuestionWhat is the basic cause of the business cycle? What are the primary phases of the business cycle? What are primary phases of the business cycle? Wha...
(a) What is real business cycle theory? (b) Describe its impact on our current economy. Explain how it is possible for an economy in the recovery phase of the business cycle to have a lower GDP and higher unemployment rate than when it...
Laissez-faire economics is a theory that restricts government intervention in the economy. It holds that the economy is strongest when all the government does is protect individuals' rights. Key Takeaways Laissez-faire economics is a theory that says the government should not intervene in the econo...
Theory or Practice? —What is the point of research carried out by biz schools? Students go to universities and other academic institutions to prepare for their future. We pay tuition and struggle through classes in the hopes that we can find a fulfilling and exciting career. But the...
When one discusses the fluctuations known as the business cycle, it is important to remember that one is talking about general, or economy-wide, fluctuations and not fluctuations that are specific to one geographic region or industry within an economy. O
Contemporary economic commentators have a habit of dismissing Austrian business cycle theory on the grounds that the implications for policy responses are unconvincing. Often the 'Austrian' position is misunderstood. But even if we wish to draw on other schools of thought to understand depressions, ...
When the entire organization is contributing story ideas, there is a sense of ownership and pride that carries through. Employees can be hesitant to mix business and pleasure, meaning they don’t always want to promote their company’s marketing efforts with their social network. When...
Today, critical race theory is used by academic scholars – and not just in law schools – to describe how racism is embedded in all aspects of American life, from health care to housing, economics to education, clean water to the criminal justice system and more. Those systems,...
The crack-up boom develops out the same process of credit expansion and the resulting distortion of the economy that occurs during the normal boom phase ofAustrian business cycle theory. In the crack-up boom, thecentral bankattempts to sustain the boom indefinitely without regard to consequences,...
Economic theory suggests that the rate of inflation rises as unemployment rates fall. This has been formalized according to what is known as the Phillips Curve. According to the Phillips Curve, lower unemployment means people spend more, leading to more pressure on prices. ...