Peak

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Peak

The high point at the end of an economic expansion until the start of a contraction.

Peak

1. The point of a security's or market's highest price for a given period of time. The term comes from charting, in which the x-axis represents time and the y-axis represents price. On a chart, the high point of a business cycle looks like the peak of a mountain. See also: Bottom.

2. In a period of economic expansion, the point of the highest GDP growth that immediately precedes the beginning of a contraction. In other words, it is the highest point in a business cycle. The term comes from charting, in which the x-axis represents time and the y-axis represents GDP growth. In this situation, the high point of a business cycle looks like the peak of a mountain. See also: Trough.

peak

see BUSINESS CYCLE.
References in periodicals archive ?
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