Answer:
The answer is a decline in Real GDP that lasts six months or longer.
Explanation:
A recession is a significant decline in economic activity, lasting six month or more.
when there is recession, there's a drop in the following five economic indicators: real gross domestic product, income, employment, manufacturing, and retail sales.
Hence, option b is the correct answer
Answer:
Real GDP that lasts six months or longer.
Explanation:
Recession can be defined as a period of great reduction in economic activities. A momentous reduction in spending can lead to a Recession. Recession can have a negative effect on the economy such as a high level of unemployment.
Recession could be as a result of:
- High interest rate.
- Increase in oil prices
- Crash of stock market.
- Effect of war or a great pandemic.
- Deflation.
