Influence of business cycles on long-term economic growth

The general macroeconomic dynamics equation, which governs the joint interaction between long-term economic growth trajectory is presented. The equations are derives by separating the general macroeconomic dynamics equation through the averaging of the rapidly oscillating terms. The nonlinear differential equation governing the cyclic oscillations of business activity near the trend growth curve is in the second order partial differential form. The behavior of the phase trajectories and the phase portrait in a neighborhood of the singular point are determined by the roots of the characteristics. The equilibrium of the system is stable and the stability is asymptotic. The accelerator capacity depends entirely on enterprise activities. A rise in enterprise activities in the sense of Schumpeter is not caused by any investment into production but only by innovations.