Sample Thesis Paper
Similarly another definition of recession is provided by Burns and Mitchell, according to them recession is nothing more than a significant extensive decline in economic activity that impacts the various sectors of the economy (Stock 1993).
Frank and Bernanke (2006) define a recession as “a period in which the economy is growing at a rate significantly below normal is called a recession or a contraction” (p. 701). This definition can be observed as one that is similar to one given by Downing and Clark (2003) according to whom “a slowdown in the overall level of economic activity is called a recession” (p. 432) and Gwartney, Stroup, Sobel, and MacPherson (2006) who establish a recession as “a downturn in economic activity characterized by declining real GDP and rising unemployment” (p. 171).
However, a more comprehensive definition of recession comes across as one given by Nordhaus (2005) when he defines a recession as the “recurring period of decline in total output, income and employment, usually lasting from 6 months to a year and marked by widespread contractions in many sectors of the economy” (p. 468). Similarly, Godin (2001) attempts to provide a comprehensive perspective on recession when he states that “a recession is a period in the economic cycle when business activity and spending are receding. The strength of the economy is on a downhill side, and people are feeling a bit uneasy about their prospects” (p. 24). The most comprehensive definition of a recession however was observed to be one given by Tucker (2010) when he defines a recession as “a downturn in the business cycle during which real GDP declines, business profits fall, the percentage of the workforce without jobs rises, and production capacity is underutilized. A general rule is that a recession consists of two consecutive quarters in which there is a decline in real GDP” (p. 150).