Difference between recession and depression

Posted By: Sm Adminon: November 25, 2015In: Miscellaneous

Recession:
Recession is a short period of time when business activity drops. Price for the goods drops, people loses their jobs so unemployment increases.
Depression:
Depression is defined as the severe and prolonged recession. During depression the level of the productivity significantly decreases. When an economy reaches to the almost two or more quarters then it is said to be as depression. The Great Depression that took place is in 1929.
Differences:

Basis	Recession	Depression
Definition (www.oxforddictionaries.com)	Notice or attention given to someone or something by the media	The state of the relationship between a company or other organization or a famous person and the public
Synonyms	Downward, decline, slump, inflation	Dumps, dejection, discouragement and gloom
Antonyms	Rise, success and increase	Advantages, cheer, comfort, joy and peace
Types	Its types are: Boom and bust recession Balance sheet recession Depression Supply side recession Different side recession
Word origin	It was originated in Mid-17th century: from Latin recessio	It was originated in Late Middle English: from Latin depressio(n-)
Pronunciation	Eng (UK): /rɪˈsɛʃ(ə)n / Eng (US): /rəˈseSH(ə)n /	Eng (UK): / dɪˈprɛʃ(ə)n/ Eng (US): /dəˈpreSH(ə)n /
Advantages/Benefits	Its advantages are: look for bargains think long term good time to buy review your financial situation	Its advantages are: Taking advantage of weaker competitors Cheaper assets Refocused entrepreneurial spirit
Disadvantages	Its disadvantages are: Falling output Unemployment Higher government borrowing Devaluation in tax rate Hysteresis Falling assets price Falling shares prices Social problems Increased inequality	Its disadvantages are: acceptance introspection focus creating a business plan for success getting your own hard work
Example in Sentence	I hope the present recession is for short term. There is a minor recession in a country.	The great depression was unbearable. Due to the high inflation, there is a great depression in a market.