Economic Depression
An Economic Depression is an economic recession that is a long-term severe social event.
- Context:
- It can range from being a Local Economic Depression to being a Global Economic Depression.
- It can (typically) contain High Unemployment.
- It can (typically) indicate an Unstable Economy.
- …
- Counter-Example(s):
- See: Economic Downturn, Credit (Finance), Trade, Devaluation, Deflation (Economics), Financial Crisis, Bank Failure.
References
2014
- (Wikipedia, 2014) ⇒ http://en.wikipedia.org/wiki/Depression_(economics) Retrieved:2014-2-3.
- In economics, a depression is a sustained, long-term downturn in economic activity in one or more economies. It is a more severe downturn than a recession, which is seen by some economists as inevitable part of capitalist economy.
Considered by some economists to be a rare and extreme form of recession, a depression is characterized by its length; by abnormally large increases in unemployment; falls in the availability of credit, often due to some kind of banking or financial crisis; shrinking output as buyers dry up and suppliers cut back on production and investment; large number of bankruptcies including sovereign debt defaults; significantly reduced amounts of trade and commerce, especially international; as well as highly volatile relative currency value fluctuations, most often due to devaluations. Price deflation, financial crises and bank failures are also common elements of a depression that are not normally a part of a recession.
- In economics, a depression is a sustained, long-term downturn in economic activity in one or more economies. It is a more severe downturn than a recession, which is seen by some economists as inevitable part of capitalist economy.