Recession?
Dec 23, 2008 in
Economics
Justin
Are we in a recession? If I remember correctly from my college economics class there is a precise definition to a recession. Something like multiple quarters without growth.
Are we in a recession? If I remember correctly from my college economics class there is a precise definition to a recession. Something like multiple quarters without growth.
It seems to me this should be a simple answer. There was either growth for the required time or there was not. Why are some people saying that we are in a recession and some are saying that we are not?
Does anyone know what the definition of a recession is and have the numbers to back it either way?
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4 comments
Kiran C on December 25, 2008 at 12:25 am
The common answer is 2 quarters of negative growth. The offical group that declares if we are in a recession does not use that standard but their criteria is similar. This board usually declares a recession after it is over.
Even if you do not know if you are in recession, it can feel like you are in recession.
allies on December 27, 2008 at 5:21 am
I have economics class right now. Yes, the US is in a recession. It’s when there have been two bad quarters in a row and we certainly have that.
The media and people in politics say we aren’t because they don’t want to scare the public.
george w on December 28, 2008 at 11:16 am
We are in a consumer led recession so the definition of a recession may not look real at this point.
littlebear1776 on December 28, 2008 at 8:06 pm
allies needs to get a refund on his econ class. the feds have just come out with last quarters growth numbers. the first quarter of this year we had 0.6% growth, and that is NOT the revised number, which will come out next week ,and will be closer to 1% growth. therefore we are NOT in a recession. but keep hoping, allies, maybe it will start this quarter