Indicators of A Recession

 

There are indications that the economy could be heading for recession. High inflation and increasing interest rates are having an impact on economic growth. The stock market should not be an indicator of economic health. This represents a small portion of the population, not  the combined microeconomic and macroeconomic dynamics. Companies are cutting advertising,  cutting back on hiring, or eliminating jobs. This is not a sign of a functional economy. The economy is heading to recession, yet there is denial among economists and politicians. The definition of recession is the decline in economic activity and the reduction of growth. The result of this is unemployment, reduced profits from corporations,  and limited investment. Output comes to a halt due to these obstacles. The indicators have gradually been exposing themselves to the public. The COVID-19 pandemic, the supply chain disruption, and sanctions on Russia have contributed to this economic condition. Attempts to redefine the attributes of a recession are not going to change the economic forecast. This was not some random occurrence. The coming recession was a product of policy. Certain measures must be put in place to prevent another possible global economic meltdown.