Economics - key terms

Phase of trade cycle where an economy is operating between the extremes of peaks and troughs

• economic growth

• trough

• peak

• zone of desired economic activity

two successive negative quarters of economic growth

• technical recession

• stagflation

• contraction

• boom

increase in the productive capacity of an economy, usually indicated by an increase in the production of goods and services

• recession

• economic growth

• trade cycle

• leading indicator

phase of the trade cycle characterised by rising levels of business activty, income, output and employment

• stagflation

• contraction

• recovery

• growth

provides information about changes in the economy at the same time as a change occurring on the trade cycle

• performance

• boom

• recession

• coincident indicator

an assessment of how a government of a country is performing to achieve its key objectives

• recession

• inflation

• economic performance

• stagflation

phase of trade cycle characterised by income and output at the lowest level with high unemployment

• recession

• recovery

• downswing

• boom

provides information about changes in the economy following changes in the trade cycle

• leading indicator

• economic performance

• recession

• lagging indicator

high unemployment and inflation persisting in an economy simultaneously

• peak

• stagflation

• unemployment

• boom

fluctuations in the level of economic activity within a country over a period of time

• economic performance

• zone of desired activity

• trade and business cycle

• growth