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Summary

Summary ECONOMICS 1B

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THIS DOCUMENT CONTAINS CONTENT BASED ON MACROECONOMICS USING A FIRM AS AN EXAMPLE

Institution
University Of Johannesburg (UJ)
Course
Economics 1A











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Institution
University of Johannesburg (UJ)
Course
Economics 1A
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Uploaded on
July 15, 2023
Number of pages
32
Written in
2022/2023
Type
Summary

Subjects

  • macroeconomics

Content preview

, Chapter 5 Information
Topic: Managing the Changing Economic Enviroment
E-Book: Page 176-191
Activity: 96-100
Outcome:
• Fundamental of business cycle
• Business cycle and firm strategy

, Changing economic environment

What is Business Cycle

The Business Cycle refers to economy-wide fluctuations in production, trade, and
general economic activity

, The economy important to business

• Determines 16-53% of firm profits

• Ignore at your peril
– Basil O’Hagan: R100m to 0 in six months
– Borrowing to expand at the wrong time
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