What is a recession? Why the most horrifying term in economics isn’t what you always think
![Eric Swanson](/files/news_events/2022/ericswanson_880.jpg)
What is a recession? Why the most horrifying term in economics isn’t what you always think
- June 27, 2022
- Eric Swanson, economics, Bankrate, June 27, 2022
You might have heard that a recession is when the financial system contracts for two consecutive quarters, as reflected in gross domestic product (GDP) — the broadest scorecard of the U.S. economy. Experts, however, say that oversimplifies it. “That’s the rule of thumb that’s often been used,” says Eric Swanson, economics professor at the University of California, Irvine, who spent 10 years at the Fed. “But the last couple of recessions, it’s not quite been true.”
For the full story, please visit https://www.bankrate.com/banking/federal-reserve/what-is-a-recession/.
Share on:
Related News Items
- A cash-for-clunkers program could reduce aviation emissions
- What 60,000 headlines say about the Fed's next move
- The Fed loves a data buffet. What's on the menu these days?
- Inflation is nearly back to 2%. So why isn't the Federal Reserve ready to cut rates?
- The impact of Federal Reserve policy on the Fed's financial conditions index
connect with us