Economists define recession as "A period of negative, real GDP growth, usually during two consecutive quarters and a contraction phase of the business cycle.
" To put it more precisely it is said that a decrease of less than 10% in a country's GDP (Gross Domestic Product) which must last for more that one consecutive quarter in a year.
To explain recession economist give out many factors, one basic factor in layman's book is that when there is a significant increase or decrease of price of goods.
It indicates that if the price increase, it reduces people spending money and if price decreases people will spend less resulting in decline in GDP.
The very much affected area during the recession is unemployment, people getting scooped off from their jobs.
This results in high competition for jobs available and company's settle for a low pay for the job, for which sometime back it may be paying a decent sum.
It finally puts people to get their hands on any work thrown to them to feed their family.
May be before recession everybody had a feeling that they can easily switch jobs and get better degree of job.
But now at this time of recession a person who can hold tightly on the job are wise men.
Let's see what we can do at the least to survive in this recession.
1.
Stick to your job as tightly as possible as it is the only thread of survival.
And pray that your company should also get through this period smoothly.
2.
Save as much as you can.
You can make a budget and take an oath to stick to it.
If you are still in the job, save your part of salary away in some safe locker and forget about it.
3.
Saving away money is just not enough, spend reasonably on the products you need, you don't have to have a TV to see the impact of recession a newspaper will do the job more precisely.
4.
You can store in groceries for say two to three months, you never know what will be the price of food items after three months.
It's natural that recession will impact every one, but it depends on what you pay for it is in your hands.
So let's make ourselves ready with savings and reasoning to handle this time of recession a little easier to deal with.
" To put it more precisely it is said that a decrease of less than 10% in a country's GDP (Gross Domestic Product) which must last for more that one consecutive quarter in a year.
To explain recession economist give out many factors, one basic factor in layman's book is that when there is a significant increase or decrease of price of goods.
It indicates that if the price increase, it reduces people spending money and if price decreases people will spend less resulting in decline in GDP.
The very much affected area during the recession is unemployment, people getting scooped off from their jobs.
This results in high competition for jobs available and company's settle for a low pay for the job, for which sometime back it may be paying a decent sum.
It finally puts people to get their hands on any work thrown to them to feed their family.
May be before recession everybody had a feeling that they can easily switch jobs and get better degree of job.
But now at this time of recession a person who can hold tightly on the job are wise men.
Let's see what we can do at the least to survive in this recession.
1.
Stick to your job as tightly as possible as it is the only thread of survival.
And pray that your company should also get through this period smoothly.
2.
Save as much as you can.
You can make a budget and take an oath to stick to it.
If you are still in the job, save your part of salary away in some safe locker and forget about it.
3.
Saving away money is just not enough, spend reasonably on the products you need, you don't have to have a TV to see the impact of recession a newspaper will do the job more precisely.
4.
You can store in groceries for say two to three months, you never know what will be the price of food items after three months.
It's natural that recession will impact every one, but it depends on what you pay for it is in your hands.
So let's make ourselves ready with savings and reasoning to handle this time of recession a little easier to deal with.
Source...