Predicting changes in the direction of the economy

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1. Business cycles involve fluctuations around full employment real GDP. List and explain at least three of the possible causes. Demand for goods and services is more or less than the firm. 2. If the Great Recession bottomed in 2009, about when would you guess that the next recession would occur? 3. What are the leading economic indicators that might signal the onset of the next recession? 4. Is supply-side economic activity more important than demand-side economic activity when it comes to predicting changes in the direction of the economy?

Reference no: EM131107404

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