Changes

A '''recession''' implies at least two quarters of negative economic activity. [http://money.cnn.com/2008/03/06/pf/minds_over_money.moneymag/index.htm?postversion=2008031312]

A '''recession''' implies at least two quarters of negative economic activity. [http://money.cnn.com/2008/03/06/pf/minds_over_money.moneymag/index.htm?postversion=2008031312]

It is a decrease in an [[economy]]'s [[employment]] and output and the [[income]] of its citizens.

It is a increase in an economy's [[unemployment]]; output and profits fall; personal income falls.

 

There may also be a decline in personal and business optimism, and a decline in the rate of [[consumption]] and capital [[investment]] in business activity.

There may also be a decline in personal and business optimism, and a decline in the rate of [[consumption]] and capital [[investment]] in business activity.

The generally accepted definition of a recession is based on the decline in [[gross domestic product]] (GDP) for two consecutive quarters.  The [[National Bureau of Economic Research]] makes an announcement on whether the United States economy has entered a recession.

Recessions are defined using a number of advanced indicators by the [[National Bureau of Economic Research]], a private think tank that includes both conservative and liberal economists.<ref> See [http://www.nber.org/cycles.html US Business Cycle Expansions and Contractions]</ref>

Several strategies exist for dealing with recession:  

Several strategies exist for dealing with recession:  

* [[Keynesian]] economics indicate deficit spending by government will deal with any short term losses by business.

* [[Keynesian]] economics indicate deficit spending by government will deal with any short term losses by business.

* [[Panic of 1893]]

* [[Panic of 1893]]

* [[Panic of 1907]]

* [[Panic of 1907]]

[[Category:Economics]]

[[Category:Economics]]

[[Category:Economic history]]

[[Category:Economic history]]