Recovery—or Recession? Economists Debate
The thing about a recession is that you typically don’t know you’re in one until it’s been around for a while. Broadly defined, an economy is in recession not just when it’s operating below capacity, but when it’s outright shrinking. Exactly what constitutes that shrinkage, though, can be fuzzy. The most cited rule of thumb, two consecutive quarters of declining output, doesn’t always apply. Gross domestic product is often positive when a recession starts. That’s why recoveries sometimes don’t feel much different than recessions.
To continue reading this article you must be a Bloomberg Professional Service Subscriber.
If you believe that you may have received this message in error please let us know.
- Fewest Jobless Claims Since 1973 Show Firm U.S. Job Market
- Greenwich Mansion Listings Pulled to Wait for a Better Day
- Germans Are Going Wild for a Show Set During the Dawn of the Nazis
- The U.K.'s $86 Billion Pension Problem Is About to Solve Itself
- U.S. Stocks Climb With Treasuries as Dollar Slides: Markets Wrap