Page 60 - Microsoft Word - 00 BA3 IW Prelims STUDENT.docx
P. 60

Chapter 4




               1.7 Trade cycles

                    Some economists argue that another objective of governments should be to
                     smooth out trade cycles to avoid 'boom and bust' years.



                     Output

                                                                     Peak                     Trend



                                     Peak                                        Trough




                                                   Trough





                                                                                                 Time
                                        Recession            Expansion




                  Illustrations and further practice


                  Now try TYUs 1 to 3 from Chapter 4
































               54
   55   56   57   58   59   60   61   62   63   64   65