Asked by hannah burkle on Jun 22, 2024
Verified
Explain how a recession differs from a depression.
Recession
A temporary downturn in the economy characterized by a decrease in commerce and production, typically marked by a reduction in the Gross Domestic Product (GDP) for two consecutive quarters.
Depression
A severe recession.
- Understand the concepts of recession, depression, and the economic variables associated with them.
Verified Answer
SM
Serena McCowanJun 29, 2024
Final Answer :
Recessions are relatively mild periods of declining real incomes and rising unemployment. Depressions are severe recessions.
Learning Objectives
- Understand the concepts of recession, depression, and the economic variables associated with them.