Business Cycle of Pakistan 1960-1970
Macro-economics
TOPIC
Business Cycle of Pakistan
1960-1969
MBA 2nd Morning
SUBMITTED TO:
DR. MUHAMMAD RAZZAQ ATHAR
SUBMITTED BY:
Samad A. Pirzada
(12-ARID-1566)
Introduction
The path of economic growth for any country depends on a number of factors including structural changes in the economy, natural calamities, political instabilities, global recessionary trends, self-feeding business cycles, etc., and the combined effect of all these factors is most commonly represented in the country’s Gross Domestic Product. In statistical terms, however, the annual data series of GDP can be considered a combination of three processes; a long-run trend, business cycles, and short-run shocks to the economy, which can be separated from each other by using statistical techniques. The objective of this assignment is to decompose real Gross Domestic Product of Pakistan into Business Cycle
Question: What Is the Business Cycle?
Answer: Parkin and Bade's text "Economics" gives the following definition of the business cycle: The business cycle is the periodic but irregular up-and-down movements in economic activity, measured by fluctuations in real GDP and other macroeconomic variables
The term business cycle (or economic cycle) refers to economy-wide fluctuations in production, trade and economic activity in general over several months or years in an economy .
The business cycle is the upward and downward movements of levels of GDP (gross domestic product) and refers to the period of expansions and contractions in the level of economic activities (business fluctuations) around its long-term growth trend.
These fluctuations occur around a long-term growth trend, and typically involve shifts over time between periods of relatively rapid economic growth (an expansion or boom), and periods of relative stagnation or decline (a contraction or recession).
Business Cycle of Pakistan 1960-1970
The economy started recovering by 1960.
TOPIC
Business Cycle of Pakistan
1960-1969
MBA 2nd Morning
SUBMITTED TO:
DR. MUHAMMAD RAZZAQ ATHAR
SUBMITTED BY:
Samad A. Pirzada
(12-ARID-1566)
Introduction
The path of economic growth for any country depends on a number of factors including structural changes in the economy, natural calamities, political instabilities, global recessionary trends, self-feeding business cycles, etc., and the combined effect of all these factors is most commonly represented in the country’s Gross Domestic Product. In statistical terms, however, the annual data series of GDP can be considered a combination of three processes; a long-run trend, business cycles, and short-run shocks to the economy, which can be separated from each other by using statistical techniques. The objective of this assignment is to decompose real Gross Domestic Product of Pakistan into Business Cycle
Question: What Is the Business Cycle?
Answer: Parkin and Bade's text "Economics" gives the following definition of the business cycle: The business cycle is the periodic but irregular up-and-down movements in economic activity, measured by fluctuations in real GDP and other macroeconomic variables
The term business cycle (or economic cycle) refers to economy-wide fluctuations in production, trade and economic activity in general over several months or years in an economy .
The business cycle is the upward and downward movements of levels of GDP (gross domestic product) and refers to the period of expansions and contractions in the level of economic activities (business fluctuations) around its long-term growth trend.
These fluctuations occur around a long-term growth trend, and typically involve shifts over time between periods of relatively rapid economic growth (an expansion or boom), and periods of relative stagnation or decline (a contraction or recession).
Business Cycle of Pakistan 1960-1970
The economy started recovering by 1960.