What Is a Recession | Frenly AI

The International Monetary Fund notes that there is no official definition of a recession, but countries such as the United States, European Union, United Kingdom, and Canada have adopted similar definitions. Recessions are often triggered by events such as financial crises, external trade shocks, or large-scale disasters, and can have significant impacts on individuals, businesses, and governments. Understanding recessions is crucial for policymakers, economists, and individuals to navigate economic downturns and make informed decisions.