Subject : Macroeconomics

Based on the following events, identify the phase of the economic cycle (peak; slowdown; recession; recovery) when each event is likely to occur and mark it on the gure below: (a) Government has recently announced tax cuts on income earned by households and lowering the interest rates. (b) The economic effects arising from the September 11 attacks were causing global stock markets to drop sharply. (c)The economy is experiencing over heating due to too much money in the economy