Comments on: Causes of Business Cycle http://www.economicshelp.org/blog/economics/causes-of-business-cycle/ Economics Blog - current events and economics essays Mon, 15 Mar 2010 10:06:19 +0000 http://wordpress.org/?v=2.9.2 hourly 1 By: MOKHOBO http://www.economicshelp.org/blog/economics/causes-of-business-cycle/comment-page-1/#comment-5773 MOKHOBO Thu, 11 Mar 2010 13:18:53 +0000 http://www.economicshelp.org/blog/economics/causes-of-business-cycle/#comment-5773 please may you send me the causes of business cycle. please may you send me the causes of business cycle.

]]> By: rahin http://www.economicshelp.org/blog/economics/causes-of-business-cycle/comment-page-1/#comment-5588 rahin Thu, 25 Feb 2010 12:18:56 +0000 http://www.economicshelp.org/blog/economics/causes-of-business-cycle/#comment-5588 i really enjoy that website by studying it! i need online economics tutor please help me out!!!!!!!! i really enjoy that website by studying it! i need online economics tutor please help me out!!!!!!!!

]]> By: Sam http://www.economicshelp.org/blog/economics/causes-of-business-cycle/comment-page-1/#comment-5457 Sam Sun, 07 Feb 2010 21:20:07 +0000 http://www.economicshelp.org/blog/economics/causes-of-business-cycle/#comment-5457 If those are causes, then what are the effects of the business cycle? It seems to me that the cause of the business cycle is the extension and contraction of credit/the money supply by the central bank, which leads to inflation and asset bubbles, which go bust, leaving us with: Falling house prices causing negative wealth effect and lower consumer spending Credit crunch causing an increase in cost of borrowing and shortage of funds Volatile stock markets and money markets undermining business and investment confidence. If those are causes, then what are the effects of the business cycle? It seems to me that the cause of the business cycle is the extension and contraction of credit/the money supply by the central bank, which leads to inflation and asset bubbles, which go bust, leaving us with:

Falling house prices causing negative wealth effect and lower consumer spending
Credit crunch causing an increase in cost of borrowing and shortage of funds
Volatile stock markets and money markets undermining business and investment confidence.

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