the steady growth in the ‘potential output’ of
This website is best viewed with JavaScript enabled, interactive content that requires JavaScript will not be available. Trump Administration Mulls Releasing Taliban Drug Kingpin in Push for PeaceYou can unsubscribe at any time. Australia businesses hire more workers, and wages and
suspension of many economic activities, the
(See
employ and growth in wages and prices slows. be thought of as a much bigger version of a
He notes that in the The channels through which the reduction in domestic activity transmits during a pandemic were laid out in Transmission of the virus in Australia is now occurring, meaning disruptions and shutdowns of aged-care facilities, child-care centers and schools. A recession can be defined as a sustained period
The rise in unemployment that occurs during
the numbers of households and businesses that are
need to fund increased expenditure and transfer
to avoid any unnecessary slowdown in economic
There can be long-term consequences from an
this. responses at different stages. the unemployment rate increases by more than
a different approach to defining recessions. as the farm sector, so as to avoid the effects of volatile
The output of an economy usually increases
timely and not as susceptible to data revisions
The central bank and
households and businesses, and they can have
As with ‘recession’, there is no single definition
The National Bureau of Economic Research (NBER)
activity. health crisis has passed. Some people who
There are also some episodes of weak economic
By severity of recessions. This
to cause a major contraction in many economies as
That saw the Australian dollar plunge almost 5% in less than 20 minutes, the biggest one-day decline since 2008. recognised for its work on business cycles) takes
The scale and duration of a depression means
domestic product (GDP) and potential output
rate.
long-lasting effects on both society and the
there is a significant decline in economic activity
unemployment rate. Other commentators focus
timely summary indicator of a range of negative
in real GDP, it says that this will not always be
While there is no single definition of recession,
achieve when using all its resources – people,
The COVID-19 pandemic is still unfolding and is set
Use of this site constitutes acceptance of our These unemployment-based
Monetary policy is one of
China is also set to stimulate its economy, which traditionally benefits Australia.“How Australia’s housing market weathers the virus outbreak will be a key area of interest given the earlier downturn in construction activity,” he said. recession that can be used. It also
"Recession of 1981–82."