ECON 203 Lecture 5: Lecture 5

• School: University of Calgary
• Department: Economics
• Course: ECON 203
• Professor: Ronal Schlenker

Document Summary

Improve information available to job seekers/employers: reduce social assistance. Expansionary fiscal & monetary policy: business cycles - continual fluctuations around long term growth trend in economy. Time: cycles are irregular & unpredictable - each cycle varies in terms of , duration, magnitude, diffusion, business cycle phases, trough (t) - bottom of cycle, above average unemployment of labour, unused industrial capital. Depression (d) - widespread, deep trough of long duration: ex. Great depression 20-40% uer for all of 1930"s. Expansion (e)- real gdp increasing: worn-out machinery replaced, employment increases, income increasing, momentum, optimistic expectations. Peak (p) - top of cycle: shortages of factors, shortage of money, expectations changing/changed. Boom (b)-peak where uer