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Qns5 sonal

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recession recovery

recession recovery

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    Qns5 sonal Qns5 sonal Presentation Transcript

    • Sonal Singh
      Qns. No. 5: Have the rich and not so rich countries recovered fully from recession?
    • Recovery and End of Recession
      End of recession is not recovery from recession.
      Even after many measures taken by rich and not so much rich countries they are in recovery process.
      Rich countries are recovering slower than that of not so rich countries.
      Not so rich countries are recovering fast because their financial systems were less damaged by the crisis and they were not overly indebted.
      Rich countries are recovering at very slow rate because Underlining structural weaknesses, high debt, low savings high unemployment
    • Criteria
      For deciding whether a country is recovered from recession or not I have comparatively analyzed its GDP growth rate, inflation rate, unemployment rate, trade deficite, industrial production etc of pre-recession, recession and post-recession period.
    • So we if consider GDP, industrial production and inflation then we can say that US economy is recovered from recession. But unemployment indicates that it is even now suffering by recession. So finally we can say that it is not recovered fully but it is in recovery process.
    • In UK also GDP and industrial production is showing healthy growth but inflation and unemployment are high even now. So we can say that UK has not recovered fully from recession.
    • GDP, inflation and industrial production of France showing that it has been almost recovered from recession but unemployment and trade deficit is even now higher than that of pre-recession era. So we can say that it in recovery process not fully recovered.
    • By analyzing all 5 indicators of Germany we can say that it is fully recovered from recession. Its GDP, unemployment, inflation, trade deficit and industry production is showing healthy growth.
    • Japan’s GDP, inflation, unemployment etc are almost same as those of pre-recession period. Rather its industrial production and GDP are more. But unemployment is more than that of pre-recession period. So we can not say it is fully recovered. It is recovering.
    • In China GDP and industrial production is even now lower than that of pre-recession period. Inflation also is higher than that of pre-recession period. But unemployment is higher. So we can say that China is not fully recovered from recession.
    • India was not so much affected from recession. GDP and industrial production has already taken their previous speed. But trade deficit is higher. So we can say India is almost recovered from recession.
    • GDP of Brazil is more than that of pre-recession period and unemployment is less. So we can say that Brazil is recovered from recession. But inflation is even more than that of pre-recession period. So we can say that it is not fully recovered.