New study reveals recessions bring larger and negative economic fluctuations.
The business cycle is about how the economy goes up and down. Researchers looked at different ways to measure this cycle in the U.S. They found that during recessions, the economy has big drops in output. Different models gave different results, so they combined them to get a more accurate measure. This measure also shows that when the economy is doing well, there is less unused resources like people without jobs or factories not being used.