What is the definition of a recession?
A) a period during which employment, production, and income are decreasing
B) a period during which the price level is increasing
C) a period during which inventories are falling dramatically
D) a period during which the unemployment rate is falling while the price level is rising

Question

What is the definition of a recession?  
A) a period during which employment, production, and income are decreasing 
B) a period during which the price level is increasing 
C) a period during which inventories are falling dramatically 
D) a period during which the unemployment rate is falling while the price level is rising

Quizplus · Accepted Answer

A recession is defined as a significant decline in economic activity, specifically marked by a decrease in gross domestic product (GDP) for two or more consecutive quarters. This results in a decrease in employment, production, and income, as well as other economic indicators such as consumer spending, investment activity, and industrial output.

What Is the Definition of a Recession