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Archive for the ‘Recession’ Category


Stock market Some recessions have been anticipated by stock market declines. In Stocks for the Long Run, Siegel mentions that since 1948, ten recessions were preceded by a stock market decline, by a lead time of 0 to 13 months (average 5.7 months), while ten stock market declines of greater than 10% in the DJIA [...]

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Businesses Started During a Recession

Businesses Started During a Recession Here are some interesting facts as taken from a recent USA Today article: * 16 out of the 30 corporations that make up the current Dow Jones Industrial Average started during a recession * Walt Disney Corporation began during the recession in 1923-24. * Hewlett-Packard Corporation began in 1938 during [...]

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Type of recession or shape

Type of recession or shape The type and shape of recessions are distinctive. In the US, V-shaped, or short-and-sharp contractions followed by rapid and sustained recovery, occurred in 1954 and 1990–91; U-shaped (prolonged slump) in 1974-75, and W-shaped , or double-dip recessions in 1949 and 1980-82. Japan’s 1993-94 recession was U-shaped and its 8-out-of-9 quarters [...]

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The Business Cycle Dating Committee

There is an old joke among economists that states: A recession is when your neighbor loses his job. A depression is when you lose your job. The difference between the two terms is not very well understood for one simple reason: There is not a universally agreed upon definition. If you ask 100 different economists [...]

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PROPOSED MEASURES FOR STRONGER FINANCIAL REGULATION.

The President of the United States, to the great problems we have had to face his nation and seeking to provide new setbacks in the economy and financial system of that country, has sent to Congress regulatory actions, he hopes soon to be approved and may enter into force very soon. The proposal aims to [...]

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Forms of Savings

Among the most common forms of savings that are not legislated or supervised in our country are: Commercial companies that take in deposits, have seen isolated cases of some Sofomes-like Sarofin and Inverban, which captured the saving public resources, when their nature is to grant loans, reverse factoring and leasing. In making disguised recruitment operations [...]

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Definition of a Recession and its Symptoms

A recession is a period of longer than twelve months during which the growth rate of Gross Domestic Product of an economy is negative. For the National Bureau of Economic Research (National Bureau of Economic Research) U.S. recession seen as any decline in economic activity continued for two or more consecutive quarters. When there is [...]

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Symptoms that Suggest a Recession

Rising unemployment, the inability to generate new jobs because there is no growth, in the case of negative growth, increasing layoffs. Decreased consumption, either by increasing prices (inflation) or by reduced consumption capacity (less money, higher interest rates on loans, etc). Increase in nonperforming loans of funds, due to lack of ability to pay of [...]

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A Recession Worthy of Punishment Vote

The economic crisis does not subside in Chavez’s Venezuela, despite the oil, while Latin America comes out The economic downturn suffered by Venezuela for more than a year, with a tendency to drag on indefinitely, will greatly influence the vote on the legislation today. Social unrest is to be expressed with a “punishment vote” for [...]

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