Steep rate hikes are likely to tip the US economy into recession.
What is a recession?
Simply put, a recession is when the economy stops growing and starts shrinking.
It happens when the value of goods and services produced in a country, known as the gross domestic product, declines for two consecutive quarters, or half a year.
A recession is“a significant decline in economic activity” that is widespread and lasts several months.
Typically, that means not only shrinking G.D.P., but declining incomes, employment, industrial production and retail sales, too.
Important shocks in US
The economy continues to recover from the pandemic
