Question: What is an economic downturn?
My Answer: Each country defines an economic downturn differently. For example, an economic downturn for China -- which has booming for many years now -- has to be defined differently than for a country like Germany where the population is ageing rapidly and the workforce is shrinking slightly. Roughly speaking, however, an economic downturn is when the total amount of economic activity in a given year falls below that of the previous year. For example, suppose that the US produces only cars. If the number of cars produced in one year falls below the number produced in previous years, there is an economic downturn -- which also means that employment and overall income will be lower. It's a little more complicated because the US produces thousands of types of goods, but that's the basic intuition.
Reason of Violation: Not a Question or Answer
2007-01-23
09:35:08
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6 answers
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asked by
Allan
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Social Science
➔ Economics
Does Yahoo review allegations of abuse? Or, is deletion and penalization automatic?
2007-01-23
09:47:06 ·
update #1