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What occurs in the depression stage of the business cycle?

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User Zolley
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Answer: Recession. These are periods of contraction. During a recession, unemployment rises, production slows down, sales start to drop because of a decline in demand, and incomes become stagnant or decline

Step-by-step explanation:

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User Sparr
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In the depression stage of the business cycle, these events occur-

i) The growth in economics keeps on declining.

ii) Unemployment in sectors worsens.

iii) The production of goods drops drastically.

iv) As there is no demand for products, sales and business tumble.

v) No rise in income, making it either stagnant or reduces.

Explanation

The business cycle shows the growth of goods production and rendering of services in an economy.

It is often indicated from the true gross domestic product or adjusted GDP to check inflation.

Other names of the cycle of business include the economic cycle and the trade cycle.

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User FamousJameous
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