What Is a Recession?
The committee checks how deep, how widespread and how long, using monthly data such as real income without transfers and jobs.
Video coming soon. The lesson video will appear here once it is published on YouTube.
Check yourself: sample questions
Think about each question, pick what you would answer if you like, then select “Show answer” to see the solution and why. Nothing is graded or sent to us. Example numbers are worked examples, not predictions.
1.How does the NBER define a recession?
The committee checks how deep, how widespread and how long, using monthly data such as real income without transfers and jobs.
2.How many shrinking quarters does the famous rule of thumb need?
Two quarters of falling real GDP back to back; it is a handy shortcut, not the official US definition.
3.Country A's GDP slips 0.1 percent twice. What does the rule say, and what is the drop?
The rule counts quarters but ignores how deep and how widespread.
Full course: 4 more questions for this lesson
The full course unlocks all self-check questions of all 365 lessons, the daily plan, your progress and the printable learning record. Lessons 1 to 7 are completely free.
See the full course Start the free week
Already bought? Open the course on this device
Sources (4)
- Business Cycle Dating (NBER Business Cycle Dating Committee) (National Bureau of Economic Research (NBER))
- US Business Cycle Expansions and Contractions (National Bureau of Economic Research (NBER))
- Back to Basics: Recession (Finance & Development) (International Monetary Fund (IMF))
- Eigene Rechnung: synthetische BIP-Quartalswerte (zwei Laender A
Education only. Not financial advice.