A recession can also be defined as the process of liquidating unproductive investments and reallocating resources, leading to a healthier economy over time. However, this process takes its toll. As the economy contracts, businesses reduce output, lay off workers, and curb spending, which can deepen the downturn.
A recession can also be defined as the process of liquidating unproductive investments and reallocating resources, leading to a healthier economy over time. However, this process takes its toll. As the economy contracts, businesses reduce output, lay off workers, and curb spending, which can deepen the downturn.