O'Connor: Telltale signs of economic changes
While changes in the economy occur regularly, what we have experienced recently is anything but a "normal" change. The challenges of the current economy haven't been seen or experienced in our country in decades.
Like most investors, you may wish you could figure out some way to know when economic conditions were about to change, or what adjustments you should make in your portfolio based on current conditions. It's a tricky topic, and even economists disagree about the nature and causes of economic cycles. But we can at least take a look at some of the issues you need to be aware of, and help familiarize you with how the economy works.
Some people tend to refer to changes in overall economic conditions as "economic cycles" or "business cycles." However, it could be a misnomer to label these changes this way. Because they are not, in fact, predictably cyclical, some economists prefer to call them "economic fluctuations."
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