Your greatest resource is your time; Brian Tracy.
The current economic depression has forced many financial analysts to start reviewing existing literature about causes of economic crisis. The US economy is coming out of the woods after the depression and paucity of research reveals that, research is focusing on what type of economic crisis was this. The type of economic crisis the US has been undergoing can be analyzed using various demographical elements. According to the Wall Street Journal, the length, depth, and size of a depression can best describe what type of an economic crisis has taken place.
The recent economic recession took so long to recover. The size of it was very large; it ended up killing corporations and destroying other economies across the world. The time it took to the United States to recover from this depression was long. Coupled, these three factors graphically represent a very deep plateau and many months of economic constraints and horse-trading across world economies. The shape of the graph we are talking about is a U.
In the 1990’s, the Japanese had a terrible time coming over the economic depression that struck Japan and rippled across Asia. The sole bearer of the depression was the Japanese with Asia merely suffering setbacks in cross border trade and fiscal constraints due to a weaker Yen and constrained markets. The US depression was severe; it wrecked financial institutions, crashed stocks, and saw banks close. Across borders, markets suffered and economies strained.
The U-shaped economic crisis is severe, takes longer, tentatively 18-24 months. This kind of depression is rather long. However, if it took a longer length, it could be described as an L economic crisis.
In the US, efforts by the government helped restructure major corporations including banks, which crashed under the U-economic crisis. The rescue packages and government funding of corporations was a recipe for containing the size of the crisis. Allowed to thrive, an economic depression can have severe economic implications downstream. As observed in the US. The bottom of the U, is the civilian community, which is hit by the ripples, actually, the bottom of the U is a serious financial problem that affects mainly the middle class. The foreclosure that hit the real-estate markets in the US best explains this.
Robin Trehan, B. A, MIB, MBA is a financial and M&A expert.