kokkutõmbumistsüklid

Kokkutõmbumistsüklid refers to the recurring patterns of economic contraction and expansion that characterize the business cycle. This cyclical nature of economic activity is a fundamental concept in macroeconomics, describing the fluctuations in aggregate output, employment, and income over time. These cycles are not regular in their timing or amplitude, making precise prediction challenging.

A typical economic cycle consists of four phases. The expansion phase is characterized by rising employment, increasing production, and growing consumer demand. This is often accompanied by rising inflation and investment. Following the expansion, the economy reaches a peak, after which it enters a contraction or recession. During a recession, there is a decline in economic activity, with falling employment, reduced production, and decreased consumer spending. Businesses may cut back on investment and lay off workers.

After a period of contraction, the economy eventually bottoms out and begins to recover, marking the start of a new expansionary phase. This recovery period is typically driven by factors such as increased consumer confidence, lower interest rates encouraging borrowing and investment, and government stimulus measures. The length of these cycles can vary significantly, influenced by a multitude of factors including technological innovation, government policies, global events, and consumer and business sentiment. Understanding these cycles is crucial for policymakers aiming to stabilize the economy and for businesses making strategic decisions.