Double Dip Recession
When the gross domestic product (GDP) growth slides back to negative after a quarter or two of brief positive growth. In other words, a recession followed by a short-lived recovery, followed by another recession. Investopedia Says:
The causes for a double-dip recession vary. However, they often include a slowdown in the demand for goods and services because of layoffs and spending cutbacks from the previous downturn.
A double-dip (or even triple-dip) is a worst case scenario. Fear that the economy will move back into a deeper and longer recession makes recovery even more difficult. Related Terms:
Bear Market
Bloodletting
Bottom
Business Cycle
Correction
Dead Cat Bounce
Falling Knife
Flight to Quality
GDP
Panic Selling
Recession |