1. The Trade Cycle in Pictures

2. Objectives To check understanding of what the different stages in the trade cycle mean. For students to think about the actual effects of the trade cycle To consider the problems of predicting the economy Extension: To discuss lagging and leading indicators.

3. What to do There are a number of indicators of economic activity. Where in the trade cycle do they appear? Move the letter to right spot on the diagram and then jot down why it is there.

4. A: Rising house construction B: The number of job vacancies rises G: Rising quantity of mail C: Increasing hours of overtime D: Rising homelessness H: Slower delivery times K: Falling share prices E: Rising demand for steel M: Rising real income L: Rising lipstick sales F: More people use pawnbrokers I: Home delivered pizza becomes more popular J: Rising air traffic N. Rising car sales

5. O: More rental housing available P: Growing mountain of unsold bricks Q: Fast food shops cut their prices T: The cost of shipping goods around the world starts to rise U: More skips start appearing on the streets V: Sales of milk chocolate start to decline X: Oil refineries report a reduction in stocks Y: Citizens Advice Bureau gets more callers W: Shops delivering lunchtime sandwiches to offices raise their prices R: Imports of sewing machines rise S: Increasing supply of credit Z: Rising government spending

6. Real GDP Time The economic cycle in pictures ABCDEF GHIJKL MNOPQR T UVWXYZ S