In economics, a recession is a business cycle contraction. It is a general slowdown in economic activity. Macroeconomic indicators such as GDP, investment spending, capacity utilization, household income, business profits, and inflation fall, while bankruptcies and the unemployment rate rise. Recessions generally occur when there is a widespread drop in spending. This may be triggered by various events, such as a financial crisis, an external trade shock, an adverse supply shock or the bursting of an economic bubble. Governments usually respond to recessions by adopting expansionary macroeconomic policies, such as increasing money supply, increasing government spending and decreasing taxation.
;
- Rieder: Marriage of Active & Passive Beneficial to Financial Advisors
- Mohamed El-Erian Sees 2% Inflation Target as 'Totally Arbitrary'
- Taubman: Focused Companies Drive Greater Returns
- China factories get busy, but home prices tumble
- Japan's economy skids, raising rate dilemma for BOJ
- The Long-Awaited M&A Comeback