Definition Recession Two Consecutive Quarters

While gross domestic product gdp is the broadest measure of economic activity the often cited identification of a recession with two consecutive quarters of negative gdp growth is not an official designation. In general usage the word recession connotes a marked slippage in economic activity. In the united kingdom recessions are generally defined as two consecutive quarters of negative economic growth as measured by the seasonal adjusted quarter on quarter figures for real gdp.

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The same definition is used by member states of the european union.

Definition recession two consecutive quarters. This definition was coined in a 1974 new york times article from the head of. The rule of thumb definition of a recession is two consecutive quarters of negative gross domestic product gdp growth. The working definition of a recession is two consecutive quarters of negative economic growth as measured by a country s gross domestic product gdp although the national bureau of economic.

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