Question

In two or three sentences, describe what economists call a “boom-bust cycle,” as it relates to the American economy in the nineteenth and early twentieth centuries.

HELP ASAP!!!!!!!!!!

Answer 1

The boom and bust cycle is a key characteristic of capitalist economies and is sometimes synonymous with the business cycle. During the boom the economy grows, jobs are plentiful and the market brings high returns to investors. In the subsequent bust the economy shrinks, people lose their jobs and investors lose money.