It is an important measure of the economy's overall health. The business cycle refers to the rise and fall of economic activity through periods of expansion and recession. ... Therefore, the GDP is the overall economic activity, and the business cycle is the ebbs and flows of the activity.
The Gross Domestic Product (GDP) is the value of all final goods and services produced within a country’s borders in a given year. It is an important measure of economy’s overall health. The business cycle refers to the rise and fall of economic activity through periods of expansion and recession. It reflects the ups and downs of the nation’s real GDP, and its cycles of expansion, peak, recession, and trough. Therefore, the GDP is the overall economic activity, and the business cycle is the ebbs and flows of the activity.
