The business cycle graph demonstrates the short-term variations in the economy.
When real output declines for at least two quarters in a row, the economy is in a recession (real GDP). Depression is a long-lasting, severe recession.
Every country's economy has expansionary and contractionary eras. The levels of employment, productivity, as well as the overall demand and supply of the country's goods and services, all contribute to these shifts. The variations of the economy between times of expansion (growth) and contraction are referred to as the "economic cycle" (recession). The present stage of the economic cycle can be determined using variables like gross domestic product (GDP), interest rates, total employment, and consumer expenditure.
Learn more about business cycle hear:
brainly.com/question/14560717
#SPJ4
Answer:
% change decrease is = 1.2 %
Explanation:
given data
assets = $100 million
average duration = 3 years
liabilities = $90 million
average duration = 3 years
interest rates= 4% increase
to find out
percentage decrease in First National Bank's net worth relative to the total original asset value
solution
change in assets value is
change in assets value = $100 million × 4% × 3 year = $1200 million
change in liability value is
change in assets value = $90 million × 4% × 3 year = $1080 million
change in net worth = $1200 - $1080 = $120 million
so % change is = 
% change decrease is = 1.2 %
Answer:
Unsystematic; unsystematic
Explanation:
In the case of the large portfolio, the non-systematic risk that could be attached would have no effect on the total risk of the portfolio
So it is to be expected that the impact should be of non-systematic risk on different kind of stock that could be offset each other in order to remove out the risk to the investor that occurs from the sources of the risk
