Cyclical Asymmetry - Causes of Cyclical Asymmetry

Causes of Cyclical Asymmetry

The primary cause of cyclical asymmetry is rapid change in an otherwise regularly cyclical model, and overreactions to counteract such changes. Similar to a man walking across a swaying tightrope, any economic model subject to cyclical stressors must find a balance. When it does not, cyclical asymmetries occur.

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