How Many More Months Until the States Goes into a Depression?

QM · 04-04-2009, 02:53 PM

I know that a lot of you don't even want to think about the word depression (because there's been so much talk about it on other threads), but it's just a question? How long does a recession have to occur before it becomes a depression? What month exactly did the States go into a recession? ...Just wondering...TIA! I tried googling it but didn't find clear and concise answers.

**LastDragonfly** · 04-04-2009, 03:20 PM

there is a thread that discusses this at Sara-n-Gabes other website

http://www.iquarrel.com/

I think they want to keep conversations such as this over there...

**my4littlebuffaloes** · 04-04-2009, 04:38 PM

Well, I believe that the numbers have to be at recession level for 2-3 quarters before they will call it a recession. I am not sure how long that lasts before it becomes a depression. Of course the news is saying that it won't last much longer, but I think they are wrong.

QM · 04-04-2009, 05:22 PM

Originally Posted by my4littlebuffaloes

...the news is saying that it won't last much longer, but I think they are wrong.

I really hope they're right.

I didn't start this topic to debate anything. It was for a 'for my information' kind of post.

**ladytoysdream** · 04-04-2009, 05:33 PM

Your question made me stop and think too.
It has to be so many quarters to be in a recession before it goes depression, but not sure how many.
I read something the other day that said this is the worst it's been, in 70 yrs but now not sure what they were referring to. Been so many numbers tossed out there lately.

If the layoffs would just stop happening, that would help out a lot.

**justpeachy92** · 04-04-2009, 05:50 PM

If I remember correctly a recession is when the economy is bad for 2-3 consecutive quarters. Where as a the economic downturn in a recession would last for years.

**monkeywrangler71** · 04-04-2009, 06:00 PM

There is no clear definition of a depression. Recession is typically defined as 2 consecutive quarters of negative GDP growth, although some economists will more accurately date a recession from the peak of business activity until the point when business activity bottoms out (afterwards the recovery is called an expansionary period). The NBER dates the current recession as beginning in Dec. 2007, the business peak, although the negative GDP did not begin that early so governments will date it later.

There is no magic date where it becomes a depression. Many recessions last for years. A depression is rather subjective label used after analyzing the depth of unemployment, duration and severity of the business downturn, you likely won't hear it used in anything except media fear-mongering.

**rainbowgc** · 04-05-2009, 01:41 PM

Aren't we already there?

**Must-Stash** · 04-05-2009, 01:53 PM

Originally Posted by rainbowgc

Aren't we already there?

If the old saying: "A recession is when your neighbor loses his job. A depression is when you lose yours." is the standard, then we, personally, are already there.

**Missourimom** · 04-06-2009, 02:18 PM

Originally Posted by Must-Stash

If the old saying: "A recession is when your neighbor loses his job. A depression is when you lose yours." is the standard, then we, personally, are already there.

This is so true!