What Is a Business Cycle Recession?

Business Cycle: Also known as the business cycle and business cycle, the business cycle generally refers to the regular expansion and contraction of economic activities along the general trend of economic development. It is the fluctuation of gross national output, gross income and gross employment, and it is the alternating or cyclical fluctuation of expansion and contraction of national income or overall economic activity.

economic cycle

The definition of economic cycle stages can be divided into two-stage method and four-stage method according to the number of stages.

Since the middle of the 19th century, people have come up with different lengths and types of business cycles when exploring the issue of business cycles, based on their own data.

When the economy began to decline, the company's products were slow to sell, and its business conditions deteriorated. Dividends and dividends decreased, and stock prices fell. When the economy recovered, the sales of corporate products began to rise, the operating conditions of the enterprises improved, and the companies issued dividends and dividends, and their stock prices gradually rose. When the economy is booming, corporate profits are good, dividends and dividends increase, and stock prices rise sharply.

Dividends refer to the dividends paid to the shareholders by the joint stock company at the dividend rate from the after-tax profits of the provident fund and public welfare fund. Dividends are the profits that a listed company distributes to shareholders when it makes a profit distribution.