Business Dictionary

    The Small Business Dictionary defines, explains, and cross-references more than 1,800 key small business words, phrases, acronyms, and concepts, covering topics including small business finance, management, sales, startup, exit strategy, and growth. To use the dictionary, type a word in the search box or click a letter to browse the listings alphabetically.


    An extended period of depressed economic activity, typically a number of years, and potentially consisting of at least one and maybe two or more recessions, during which one or more of GDP, output, income, or employment, especially the latter, fail to rise above their level at the beginning of the period, even if GDP or output do recover fully much earlier in the period. The Great Depression of the 1930's contained two distinct recessions with significant recoveries of GDP and output after each, but with an ongoing very high level of unemployment and loss of income. The National Bureau of Economic Research's Business Cycle Dating Committee dates U.S. business cycles. There is no definition of depression on their website. It is popularly believed that a decrease of real GDP of 10% or greater would indicate a depression.

    Glossary provided by Campbell R. Harvey, Professor of Finance at Duke University.
    Copyright © 2006, Campbell R. Harvey. All worldwide rights reserved. Do not reproduce without explicit permission.
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