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Q: How do rising interest rates affect the business cycle?
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During which part of a business cycle are there fewer jobs and rising unemployment?

recession


Real GDP is rising at a 5% rate, unemployment is at 6% and falling, and inflation is rising at about 2% per year. Where in the business cycle is the economy?

expansion


What are the economic factors affecting business environment?

Economic factor that affect businesses: 1. Income 2. Inflation 3. Recession 4. Interest Rate 5. Exchange Rate There are four major elements that affect business environment. The elements are: 1. Economic growth 2. The business cycle 3. Employment and unemployment 4. Inflation


What are the economic factors affecting a business environment?

Economic factor that affect businesses: 1. Income 2. Inflation 3. Recession 4. Interest Rate 5. Exchange Rate There are four major elements that affect business environment. The elements are: 1. Economic growth 2. The business cycle 3. Employment and unemployment 4. Inflation


Which of these describes the economic recovery period in the business cycle?

Economic activity is rising above the point of the previous peak.


What business cycle will the economy most likely experience during rising real output and falling unemployment rates?

Expansion


What keeps business cycle going?

Investment, interest rate and credit, consumer expectations, external shock


What are some specific cycles within the greater business cycle?

It is sometimes useful to speak of the cycles of specific time series; that is, the interest rate cycle, the inventory cycle, the construction cycle, and so forth.


Identify the two policies that the federal government can follow in order to make the business cycle less disruptive?

federal government can lower interest rates and stimulate spending to make the business cycle less disruptive.


Why does government track the business cycle?

the U.S Gov. tracks and influences business cycles to prevent wild swings and economic behaviors... they act in self interest.


How can interest rates push a business cycle into a contraction?

High interest rates can promote saving, which in turn can cause a downturn in demand, causing surplus products on the market.


What cycle will Deforestation affect?

It can affect the Carbon Cycle, Nitrogen Cycle and Water Cycle.