What would it take for economic cycles to really disappear currently?
Is there currently a shift in OECD countries from a cyclical economy, marked by alternating periods of recessions and expansion periods, to a non-cyclical (or at least less cyclical) economy ? For cycles really to disappear in OECD countries, the following conditions would have to be met: Inflation would have to remain low so monetary policies can remain expansionary, which keeps all groups of economic agents solvent; Governments would have to avoid mistakes that destroy growth (protectionism, Brexit, etc.); Fiscal and monetary policies would have to be kept expansionary, in order to stimulate demand; And this must drive companies to become more efficient, leading to higher productivity gains and stronger growth even at full employment, as supply can meet demand.