For the answer to this oft asked question, we need to first define what a recession is. Economists define a recession as a contraction in a business cycle or a slowdown over a period of time in which there is a decrease in economic activity. So, according to the economic definition the question remains: Is the United States in a recession?
The answer is no. Technically, it is not but we are not far removed from it and it is very possible to slip back into it. Here are some of the great concerns that confront us economically:
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Jobs. As of the writing of this article, the unemployment rate is in the double digits and the prospects are not too bright. This is one of the great concerns for the economy. Is the United States in a recession? The answer is debatable but one thing is for sure and that is if you consider the job outlook then we are certainly in a recession. Let us take a look at one more big concern for the economy overall.
Budget deficit. Can you tell me how many zeroes are in one trillion dollars? Well, you will need to know that if you plan on writing out the amount of debt the United States are in. Yes, the mounting debt is nothing short of a crisis. The reason why this is such a concern to the economy overall is that interest continues to accrue and it is spiraling out of control more and more each day. Is the United States in a recession? Well, if the budget deficit is any indication then yes we certainly are.
In conclusion, there are a number of indicators that are used to measure the state of the economy and by most expert opinion we are not in a recession but we are not far away from it either.
Is the United States in a Recession?
Is the United States in a Recession?
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