The most evident is the GDP growth rate will decline in the second or third consecutive quarter.
During the recession, businesses will:
staff cuts, spending savings because revenues are declining sharply.
Limit inventory accumulation.
delayed plans to expand production business
turn affected by this, providers will also everything to "self defense". They also cut costs, layoffs and rising unemployment pushed.
Unemployment is rising, incomes decreased spending causes contraction. So the economy will continue to slide.
The bottom of the recession (Low Point, Depression)
Characteristics of the economy in this period is high unemployment, declining income, the supply of unsold goods, rate higher inventories.
When GDP started declining and started constantly growing again, the economy has reached the bottom of the cycle.
Sooner or later, will reach the bottom of the recession, but the "lies" in how long that it is difficult to guess. In the recession of the US economy in the 1930s, the bottom of the cycle lasts for years.
Progress of Recovery and
this time, GDP began to grow again, and the economy recovers from recession.
Activities business started to grow a little bit and now hire back workers, increasing the amount ordered from the supplier. These providers will restart production expansion and hiring.
Many more jobs will help workers improve their income and then spending, promote economic growth.
Achieving top
this time, the economy's real GDP growth stopped and started more signs of going down.
At the peak of the cycle, the business will cease to expand, employment, consumption and production of the economy International reach the highest level.
like the bottom of the recession, peaking this period may be longer or shorter. When peaking prolonged period, we will benefit from a period of economic prosperity.
đang được dịch, vui lòng đợi..