An economic cycle refers to the fluctuations in the economy over time. It is a natural and recurring phenomenon that involves periods of expansion (growth) followed by contraction or recession, with varying degrees of intensity. The cycle typically lasts between 3-5 years, but can vary depending on factors such as economic policies, global events, and other external influences. During the expansion phase, there is generally increased spending, investment, job creation, and growth in GDP; while during the contraction or recession phase, there is a decline in these indicators. Understanding the economic cycle can help businesses and individuals make better decisions about their finances and prepare for potential downturns.