Recesszióhoz

Recesszióhoz is the Hungarian word for recession. A recession is a significant and prolonged downturn in economic activity. It is typically characterized by a decline in gross domestic product (GDP), rising unemployment, falling consumer spending, and reduced business investment. While there is no single, universally agreed-upon definition, two consecutive quarters of negative GDP growth is often used as a common indicator.

Recessions can be caused by a variety of factors, including financial crises, asset bubbles bursting, shifts in consumer confidence, or significant external shocks such as natural disasters or pandemics. The effects of a recession can be widespread, impacting individuals, businesses, and governments. Job losses, reduced incomes, and decreased business profits are common consequences. Governments and central banks often implement various policies to mitigate the severity and duration of recessions, such as fiscal stimulus packages or monetary policy adjustments like interest rate cuts. The recovery phase following a recession can vary in speed and strength.