Business Cycle

Australia’s economic status can be assessed using a range of economic indicators such as unemployment rates, Gross Domestic Product (GDP), inflation rates and interest rates. The economy can affect Australian business’s greatly causing them to flow through the business cycle. The business cycle purpose is to describe the overall trends of the economy and can show growths of high or negative. The four stages in a business cycle are: expansion, this is when the economy has high demands; peak, this is the turning point of the expansions before the economy falls down. A contraction is when the demand for goods and services are low; and trough, is the opposite of a peak. To evaluate Australia’s current economic status factors such as unemployment

This report will show an overview of the current state of the Australian economy and its management by the Federal government through examining economic indicators such as economic growth (GDP), unemployment, inflation and trade.

Beginning with unemployment in the 2007-2009 recession, U.S. unemployment rates peaked at 10% as well as held 41 consecutive months at rates higher than eight percent (Lazear 1). The U.S. economy plummeted during this time; many attributed the shift to a large decrease in the number of employed workers. To be able to better understand the unemployment issue, we must first examine the form of unemployment faced by the U.S. economy. Many believe that the changes faced by the U.S. labor market

Think about the character you used during the “Living the Great Depression” activity. Is your character male or female? How old is your character? What is your character’s position in life? What is your character’s background? Does your character have other people who are dependent on him or her? Everything about a person and his or her background can influence the thoughts and opinions a person has.

problem at hand is the rising rate of unemployment. This problem must be dealt with

The current American economic system is one in which our economic crises are not as in the past crises of shortage, but are in fact crises of surplus. Our society has become so efficient at producing goods that it undermines the structure in which those goods were produced and creates a collapse in the market. Our technology has become so incredibly efficient that we do not need everybody to work. People are

Frictional unemployment arises when people enter the labor force or are in the process of changing jobs.

Unemployment, the decrease in income and lack of education are all correlated with one another and were the major things that weakened the labor market during the great recession. The lack of education during this time resulted in many individuals to lose their jobs. Unemployment being at all time high caused many individuals to go back to school so they could find jobs. When people were unemployed, their household income declined as well. Inflation played a major role in unemployment; employers could not keep workers due to the cost of business going up, so they let go of the workers that did not have an education or low skill

In this paper, I will explain the roles and importance of the Business cycle Dating committee of the National Bureau of Economic Research. I will also explain how the NBER defines and dates recessions. Finally I will explain the important aspects and effects of the last recession.

The United States economy experienced a recession starting in December 2007 and ending in June 2009 as reported by the National Bureau of Economic Research. The employment market was directly impacted as evidenced by the growth in unemployment rate. Employers reduced staffing to cut costs and protect profit margins. In doing so, employers combined approximately 2-3 worker’s positions into one, shifting the required skills and values into one all-encompassing position.

On the outstanding work “unemployment and job creation programs: is there a skills gap?” by Belinda Shipps and Robert L. Howard four types of unemployment are identified: Frictional, seasonal, structural, and cyclical. Frictional

Marcio Alaor relates that the economic crisis that hit the world hard back in 2008 had a resounding affect on all the developed countries. However, Australia is a totally different story. Economists across the world are turning their attention to the country and wondering what is their secret. In fact, data released showed that the countries economy grew by a tremendous 2.5 percent, while other countries experienced major downfalls in the economy. The surprising fact is that this is the countries 25th consecutive year without a recession. Alaor relates that the world went through an economic crisis in the nineties. Australia was still able to keep their economic system growing.

The United States is currently experiencing a slow recovery from the recession of 2008-09. The current unemployment rate is 7.7%, which is the lowest level since December of 2008 (BLS, 2012). However, this rate is believed to higher than the rate that would occur if the economy was operating at peak efficiency, and it is also believed that there are structural issues still underpinning this performance. For example, the number of Americans who have exited the work force as the result of prolonged unemployment is believed to be higher than usual. In addition, the Congressional Budget Office (CBO, 2012) notes that long-term unemployment of greater than 26 weeks is at a much higher rate than normal, which will have adverse long-run effects on the economy, since workers with long-term unemployment often find their career paths derailed.

This paper focuses on Australia’s business cycle. It explains factors of Australia’s business cycle, the rise and fall and how these have changed over time. This paper shows and demonstrates the key features of Australian business cycles during 2010-2015. It, specifically, identifies the chronologies in the nation’s classical cycle (expansions and contractions in the level of output) and growth cycle (periods of above-trend and below-trend rates of economic growth). Which presented an assessment of where Australia’s economy, in the past, current and future.

Timing of the business cycle is not predictable, but its phases seem to be. Many economists site four phases—prosperity, liquidation, depression, and recovery. During a period of prosperity, a rise in production leads to increases in employment, wages, and profits. Obstacles then begin to obstruct further expansion. Production costs can increase, helping create a rise in prices, and