A recession is a period where trade and economic activites are reduced creating a vicious cycle of unemployment and reduced purchasing power of people.This is considered to be a temperory phase but sometimes it can take months and years for the revival of the economy.From a steep downfall coming up of the economy can be slow.The demand and supply for goods and services in the market can also take time to revive affecting the lives of the people in a major way.
Recession is the time the national economy is in the downswing or spiralling down.During recession period companies and industries reduce manpower to cut their working cost. This results in the widespread unemployment . Many people lose their jobs or businesses creating an atmosphere of fear and uncertainty. Even those who are secured with a job are also in a state of anxiety about the future and status of their job.Spending power of the general public is down .
The word recession is the term used in micro economics. It refers to a significant declination in regular economy. In other words, it is the phase of declination of prices and values of products. Recession can be seen in different areas like economical sectors, production, employment, trade, real income and wholesale trade. There are different reasons of recession based on pyschological aspects, economical aspects and financial problems. In current scenario, the biggest reason behind recession is Covid- 19.