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The Difference Between Recession and Depression #shorts
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What is a Recession VS Depression?
In this video, we'll be talking about the difference between a recession and a depression.
Let's start with the basics.
First, let's start with the definition of each term.
A recession is defined as an economic downturn that lasts more than two quarters. It's usually caused by an external shock to the economy, like rising oil prices or a natural disaster. A depression is any severe period of high unemployment and low business activity—it's also known as a "deep recession."
So how do you know when you're in a depression?
Well, if your stock market closes down for a few days or more, that's probably not good news.
A depression is when things get really bad—like if there's widespread unemployment and poverty across the entire nation (or even worse).
That means there are lots of people who can't afford to buy anything, which means stores are going out of business left and right and companies are laying off employees left and right, which means more people are unemployed…
so on and so forth until everything crashes down around your ears.
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#recession #depression #financialeducation #moneymotivation #shorts
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