Uppsving

Uppsving is a Swedish term used to describe a phase in the business cycle when economic activity begins to improve after a downturn. During an uppsving, indicators such as real GDP growth, employment, industrial production, and consumer spending typically strengthen. Confidence among households and firms tends to recover, supporting higher investment and demand. The duration and intensity of an upswing vary; it may progress into a boom if demand accelerates, or it may slow if supply constraints or policy tightening curb growth.

Etymology and usage: The word combines upp (up) and sving (swing or turning). It is common in Swedish economic reporting, central-bank communications, and political discourse to denote a positive, turning point in the economy.

Indicators and drivers: Typical signals include positive quarterly GDP growth, falling unemployment, rising hours worked, and increasing capacity utilization. Financing conditions, wage growth, and consumer confidence often improve during an uppsving. Drivers may include recovering domestic demand, export growth, inventory rebuilding, and supportive monetary or fiscal policy. The pace of an uppsving depends on domestic fundamentals and global conditions, and it can be followed by either further expansion or a return to slower growth if imbalances emerge.

Relation to the cycle: An uppsving follows a recession or stagnation and serves as the initial recovery phase in the broader business cycle. Policy makers monitor it to balance sustaining growth with avoiding overheating.