UK has officially fallen into recession for first time in 11 years due to the impact of the coronavirus pandemic
(Source: BBC)
Understanding recession
A recession is a significant decline in economic activity that lasts for months or even years.
Experts declare a recession when a nation’s economy experiences negative gross domestic product (GDP), rising levels of unemployment, falling retail sales, and contracting measures of income and manufacturing for an extended period of time.
Recessions are considered an unavoidable part of the business cycle—or the regular cadence of expansion and contraction that occurs in a nation’s economy.
During a recession, the economy struggles, people lose work, companies make fewer sales and the country’s overall economic output declines.
The point where the economy officially falls into a recession depends on a variety of factors.
This is a Developing Story…
