Business Cycle Chapter in Single Video | CA Foundation Economics Chapter No 5 | Chandan Poddar

Descrizione:

00:00 Intro – The video starts with an overview of the business cycle, explaining that all economies experience fluctuations in economic activity. 00:29 Meaning of Business Cycle – It defines the business cycle as a pattern of expansion, peak, contraction, and trough that repeats over time. 04:25 Phase of Business Cycle – The speaker outlines the four distinct phases: expansion, peak, contraction, and trough. 04:50 Expansion – During expansion, output, employment, aggregate demand, investment, consumer spending, sales, profits, stock prices, and bank credit all rise, raising the standard of living. 10:39 Peak – The peak is the highest point where the economy operates at maximum capacity, leading to overheating, higher input costs, and a rise in the cost of living. 13:20 Contraction – In contraction, output and employment fall, investment and production decline, incomes drop, demand and consumption shrink, bank credit tightens, stock prices fall, and firms become pessimistic. 19:26 Depression – The trough or depression marks the lowest level of activity, after which the economy turns toward recovery. 22:33 Recovery – The recovery phase sees increased investment, higher consumption, and a rebound in production and employment, completing the cycle. 25:30 What is Indicators – The video discusses leading, lagging, and coincident indicators that signal the different phases. 31:04 Features of Business Cycle – Finally, the speaker summarizes the key features of the business cycle, emphasizing its irregular intervals and varying lengths.