What is a business cycle?
Simply put, a business cycle refers to the fluctuations in economic activity. Little did you know how important the monthly employment report issued by the Bureau of labor statistic is to investors and portfolio managers. The two most important variables used to determine which phase an economy is in, in the business cycle is the Real GDP (Gross Domestic Product) of the economy and the rate of employment. So you see why the information on employment provided by the bureau of labor statistics is very important.
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