Increased demand can be caused by: increasing government spending, increased investment by the private sector, increased consumption or increased net exports. This is brought about by reducing interest rates and other things...
what strategies are used are used to improve profit during the recession period?
in demand and proudction
Just the opposite happens. In a recession, unemployment increases and the demand for goods decreases.
During a recession, there is a decrease in production because there is lower demand for goods and services. This leads to businesses producing less in order to match the reduced demand, which can result in layoffs and reduced economic activity.
toothpaste
The Countywide Recession
During a recession, the inflation rate typically decreases or remains low. This is because reduced consumer demand and economic activity lead to lower prices and less pressure on prices to rise.
Economic recession is when the economy, as a whole, is actually shrinking (GDP shrinks, unemployment rises, as the demand for goods and services is lessened.)The opposite of an economic recession, is economic growth.Economic growth is when the economy is expanding, jobs are being created because of increased demand or stimulated demand.
The Recession of 2008 was caused by an aggregate demand (AD) shock.
The Countywide Recession
South Africa is currently in a recession because of a great decline in demand for products and output of products due to a world market recession.
Spending increases demand and can encourage economic growth.