All business cycles are bookended by a sustained period of economic growth, followed by a sustained period of economic decline. Throughout its life, a business cycle goes through four identifiable stages, known as phases: expansion, peak, contraction, and trough.

What are the stages of business cycle?

How the Economic Cycle Works. The four stages of the economic cycle are also referred to as the business cycle. These four stages are expansion, peak, contraction, and trough.

What are the 6 stages of growth?

The six growth phases are described below:Phase 1: Growth Through Creativity. Phase 2: Growth Through Direction. Phase 3: Growth Through Delegation. Phase 4: Growth Through Coordination and Monitoring. Phase 5: Growth Through Collaboration. Phase 6: Growth Through Extra-Organizational Solutions.

How does business cycle help the economy?

Business cycles are the ups and downs in economic activity, defined in terms of periods of expansion or recession. During expansions, the economy, measured by indicators like jobs, production, and sales, is growing--in real terms, after excluding the effects of inflation.