ExSarge
 |
A six-month period of negative growth in the total value of goods and services produced in the country's economy. Part of the businesss cycle, frankly. As funky as things look right now, we're still in positive growth (as of today) and haven't had negative growth since the post-9/11 period when everybody was too scared to go anywhere or buy anything.
Some use the word "recession" to describe "the economy during a Republican administration". Some even use the word "depression". I think that describes their state of mind rather than the economy. |
MissileMe
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Now go ask that to 5 politicians and 5 economists and you'll get 100 different answers depending on voting season, non voting season, and good mood or bad mood.
Truth be told, recession quite simply put is when the economy is not growing as fast as it should, thereby not being able to sustain the population. Not being able to sustain means that :
a. people are having a hard time paying off their loan because of inflation or deflation, thereby can no longer rack up more debt, thereby pushing down the demand for material goods, thereby people living on less on the whole.
b. number of total jobs created is less than the number of unemployed. (now scientists will argue that it's the number of unemployment checks the governement writes out, but that's a crock of crap since you can't get unemployment checks forever, even though you could be unemployed for a VERY long time.
c. the country is having to borrow money to keep the economy going. Borrowing by selling bonds, printing money. This borrowing is not the problem but the problem lies when the total amount borrowed exceeds or comes close to exceeding the total amount of wealth of the country, with no future prospects for paying back the loan.
I could go on and on but these 3 I mentioned above are most critical.
To avoid a recession, well it's said that it can't be avoided since it's like growing pains. But one thing for sure is that it can be made more endurable. This is done by everyone living within their needs and not taking out a humongous loan and living like shieks on dope. By cutting back on the debt and keeping life real, it keeps the entire nation from spinning out of control (like sub prime loan).
Another way to avoid recession is by electing officials that aren't so seedy and backed up by banks, FRB, drug lords, banksters, gangsters, and all other types of con men. By keeping such people out, the government stays clean and keeps life simple and accountable. No accountability and no responsibility leads to chaos.
By far, electing good officials is the most important but that's a tall order. Money corrupts and lots of money corrputs much and many people. Absolute wealth and absolute power corrupts absolutely.
There you go a quick rundown of why the entire world economy is going down the tube!!! |
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