Question

An extended recessionary period is indicative of

Answer 1

An extended recessionary period is indicative of a depression

Recession period refers to the slowing down of economic activity within a county. More specifically, it is a decline in gross domestic product (GDP) for two or more consecutive quarters. Recession slows down business activities within a country. There is a decline in real GDP, income, employment, manufacturing, and retail sales.

A good example is the great recession. There were four consecutive quarters of negative GDP growth in the last two quarters of 2008 and the first two quarters of 2009.

Answer 2

The above asked question looks at the time period of depression in an economy. Depression in an economy occurs when the economic activity is down in the country in regard to production and consumption. Its the slowing down of economic activity. When the GDP of the country falls at a certain rate at certain periods of time and this pattern continues then its called recession. Examples of this include, the slowing down of business activity in the economy, the job opportunities, manufacturing industry and much more.

So "An extended recessionary period is indicative of a depression"

People may look at the time period of the 30 years of great depression in Europe.