Role Of Business Consulting Firms

For the current Keynesian economics, cycles are inevitable as they are the result of cyclical change in the marginal efficiency of capital, but by some measures, such as increased public spending can soften and reduce economic costs in the whole population.

Since the nineteenth century, scholars of economics and Business Consulting Firms noticed dramatic drops in economic activity at varying intervals of 7 -10 years. Tests demonstrated that crises were not isolated events, but part of a cyclical fluctuation in business and industrial markets (boom and bust periods).

As economic cycles are irregular, cyclical fluctuations are recurrent waves of expansion and contraction without a fixed period. They differ from the seasonal fluctuations in the nature of its rhythm. The seasons have fixed or regular pace, while cyclical fluctuations have a variable or irregular rhythm, although easily recognizable.

Although the cycles do not develop at fixed periods of time or in regular sequences of events, they can be measured.