Recession

My definition of a recession is when the average American struggles, because there are no jobs, and barely any money to survive off of. “The economic meaning of a recession is when the economy declines significantly for at least six months. That means there's a drop in the following five economic indicators: real GDP, income, employment, manufacturing and retail sales.” (Amadeo, 2017) A recession doesn’t usually hit very hard so that it is immediately noticeable. It can start up pretty slowly several months to years before the economy changes dramatically and begins to affect everyone. During the Great Recession, which spanned from 2008 to 2012, the government used fiscal and monetary policies to implement change in our economy. There were major adjustments to the budget and a huge focus on the countries debt and how it was effected by the war. “The Great Recession is a term that represents the sharp decline in economic activity during the late 2000s, which is generally considered the largest downturn since the Great Depression.” (The Great Recession, n.d.) In this essay, I will briefly discuss the use of fiscal and monetary policies implemented during the Great…

Many times throughout world history, economic downturns called recessions or depressions have devastated both individual lives and countries’ economies. On a microscale, many people lose their jobs, businesses, and in extreme cases, their homes. On a macro level, unemployment rises, and gross domestic product (the way economists measure the success of an economy) sinks to new lows. Recessions and depressions are the cause of the ruination of many. Although these economic crises are seen as…

In the year 2008 US was hit by one of the worst economic recession it ever witnessed after the great depression. What started out as something that was seemingly isolated to the housing sector got blown into a full grown global crisis. Some people feel that the time before the crisis was a fairly stable and a booming phase however this wasn’t very true. On the contrary between the period of 1970 and 2008, there were: 124 systemic banking crises; 208 currency crises; 63 sovereign debt crises; 42…

The great recession is when a country experiences an extreme decline in economic activity for 2 or more consecutive quarters within the year. Each quarter represents 3 months out of the year. The United States experienced a Great Recession in December 2007 all the way until January 2009. There are many factors that contribute to the great recession that occurred as the years went by. During the years from the 1980s until 2007, demand in the U.S. was controlled by the fast paced growth of…

Recession (Contraction) definition The NBER’s Business Cycle Dating Committee keeps records of the U.S. business cycle. The records include alternating dates of peaks and lows in the economy. The committee keeps track of the business activity in the economy by keeping records of employment, production, income and sales. The committee considers a recession; a significant decline in economic activity spreads across the economy and can last from a few months to more than a year (NBER).…

Great Recession Of 2008 Katherine LeMar American Public University ECON102 – Introduction In the economy, a recession includes a fall in GDP (gross domestic product). The textbook explanation of a recession is a downturn in economic movement, described by no less than two successive quarters of decrease in a nation's GDP ("The NBER's Business Cycle Dating Committee", 2010). In other words, a major drop in customer spending culminating in a loss of work, individual…

The Great Recession is a time of economic decline observed in world markets during the early 2000s. It is a period of declining aggregate output in the economy. The majority of consumers not only in America, but also in most Western nations and many other areas of the world have been impacted by the Recession, 86% of the US and almost 55% of Europe. Business cycles affect all of us in immediate and important ways. For example, when output is rising it is easier to find a good job, but when…

The business cycle is the alternating periods of growth and decline. There is four stages of the business cycle: Recovery, Peak, Recession, and Trough. During the recovery period the economy is growing. This means that there will be more job openings and businesses will increase product. People are willing to spend more money because times are good for them at the moment and they are very optimistic about the future. During the peak period the economy is at its highest point. This means that…

A recession is a period of time were the economy temporary declines during which trade and industrial activity can be reduced. Recessions will last longer than a couple of months, typically it can last anywhere from six to eighteen months. A recession is however less severe than a depression. High interest rates are a cause of recession because they liquidity and the amount of money available to invest. Another factor that can contribute to a recession is reduced real wages, when real wages…

A recession is usually a period of time that lasts for about six months and the economy declines significantly. That includes ruining one's finances, employment going down, unemployment going up inclining to ten percent, income going down, and prices of products also going down. The unemployment rate is the most common method to determine the health of an economy. It is the measure of individuals who are not currently in the work force. Having a job during a recession is probably the most…