Recession
A significant decline in activity spread across the economy, lasting longer than a few months. It is visible in industrial production, employment, real income and wholesale-retail trade. The technical indicator of a recession is two consecutive quarters of negative economic growth as measured by a country's gross domestic product (GDP). Investopedia Says:
Recession is a normal (albeit unpleasant) part of the business cycle. A recession generally lasts from six to 18 months.
Interest rates usually fall in recessionary times to stimulate the economy by offering cheap rates at which to borrow money. Related Terms:
Bear Market
Boom
Business Cycle
Double Dip Recession
Economy
Gross Domestic Product - GDP
Growth Recession
Hard Landing
Overheated Economy
Soft Landing |