What is the main difference between Seasonality and Cyclical

What is the main difference between Seasonality and Cyclical pattern, please provide in depth response ?

Solution

Following is the difference between seasonality and cyclical pattern

1. Seasonality pattaern is the one of the characteristics of Time series where data experiences regular and predictable changes. Any predictable change or pattern in time series that occurs repeatedly in a year is said to be seasonality pattern.

Cyclic pattern exists when rise and fall of data is not of fixed period.

2. If the fluctuation are of not fixed period then it is cyclic and if the period is changing during the calender period then it is seasonal

3. Average length of cycles is more than the length of seasonal pattern

4. Magnitude of cycles is more variable than the magnitude of seasonal patterns.

5. Seasonal cycles is for one year of a claender year whereas cyclical effects can span for shorter or longer than one calender year