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544 posts
msg #102105
Ignore glgene
8/8/2011 11:18:22 PM

Is there any calendar-period definition as to how many months from the last recession to the next recession in order to qualify as a "double-dip" recession?

I hear that phrase used loosely.


544 posts
msg #102126
Ignore glgene
8/9/2011 4:25:23 PM

I guess there is no 'set time' between recessions in order for the second one to be called a double-dip recession. Got these words from Investopedia was very similar.
What is a "double-dip recession"?

The generally accepted definition of a "recession" is (at least) two straight quarters of negative GDP (Gross Domestic Product) growth.

A "double-dip recession" occurs when you have, in this order:

1. A recession.
2. A short period of growth.
3. Another recession.

A "double-dip recession" is also referred to as a "W-shaped" recession.

"Double-dip recessions" are extremely damaging, not only to the economy, but also to the moral of the citizens of a country.

Recessions are hard enough. Imagine believing that the economy is starting to recover, only to be met with news that the country has slipped into yet another recession.

The second recession in a "double-dip" recession is usually worse than the first, due to the fact that so many people are incredibly disheartened and pessimistic.

The United States (and the rest of the world) will be desperately trying to avoid a "double-dip" recession in the months and years ahead.

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