In what circumstances is an economy said to be in recession?
A fall in real GDP for two consecutive quarters is the conventional rule of thumb for a technical recession. A single quarterly decline does not meet that rule, and annual…
Choose your answer
In what circumstances is an economy said to be in recession?
Answer and explanation
Correct answer B
A fall in real GDP for two consecutive quarters is the conventional rule of thumb for a technical recession. A single quarterly decline does not meet that rule, and annual comparisons use a different observation period.
Practice for these exams
-
Gujarat SET (GSET)