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Ch. 10

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5 Scenario Planning - LR Levin Consulting

... can control or predict. Examples of these, that are currently much discussed, are how much new debt will the United States sell over the next 12 months? How much of the debt will China buy? How will the markets react in setting interest rates if China curtails buying our debt or to the level of oil ...
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Business cycle

The business cycle or economic cycle is the downward and upward movement of gross domestic product (GDP) around its long-term growth trend. These fluctuations typically involve shifts over time between periods of relatively rapid economic growth (expansions or booms), and periods of relative stagnation or decline (contractions or recessions).Used in the indefinite sense, a business cycle is a period of time containing a single boom and contraction in sequence.Business cycles are usually measured by considering the growth rate of real gross domestic product. Despite being termed cycles, these fluctuations in economic activity can prove unpredictable.A boom-and-bust cycle is one in which the expansions are rapid and the contractions are steep and severe.
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