Recession

There are conflicting criteria for determining whether or not an economy is in Recession, but all agree that it means there is an extended decline in general business activity resulting in a period of negative economic growth.

Broadly defined, a Recession is a downturn in a nation's economic activity and typically results in increased unemployment, decreased consumer and business spending, and a slumping stock market—all of which parallel the current economic situation in the U.S.

In most parts of the world a recession is technically defined as two consecutive quarters of negative economic growth - when real output falls. But according to the National Bureau of Economic Research, Recession is defined as three consecutive quarters of falling real gross domestic product. They describe the low point of a recession as a valley between two peaks, the peaks being the starting and ending points of the Recession.  

Historically, Recessions have been of shorter duration than the preceding periods of economic expansion, but these shorter durations do not mean they are any less severe.
Economists are predicting a U.S. Recession could last well into 2009, as signs of a global Recession are already evident.