THE FRESH BYTES
A recession is a persistent and significant decline in the economy, which may last for a few months.
Recession is measured by the National Bureau of Economic Research (NBER) by looking at retail sales, negative GDP, industrial production, and nonfarm payrolls.
Monetary and fiscal policies are some measures used by nations to deal with recession.
Unemployement, a lack of jobs, and employees cut off from companies are some major aspects of the recession.
The constant rise in unemployment rates and negative GDP growth indicate a recession.
The starting and ending dates of the recession are recognised by the Reserve Bank of India.
If the recession is prolonged, it may have a negative impact on the nation's growth due to a reduction in tax revenue and increased government debt.
Some of the causes of recession include excessive deflation, excessive debt, technological change, and a sudden economic shock.
There have been five recessions faced by the Indian government since independence: 1958, 1966, 1973, 1980, and 2019.
Predicting or forecasting a recession is difficult, but there are warning signs that can be figured out for timely preparation.