A leading economist offers the real explanation for why recessions start, how long they last, and how to avoid them in the first place.
“Vivid, deeply troubling... Mr. Goodspeed makes a compelling case that recession is not inevitable.”
The Wall Street Journal
What causes an economic recession? Will the recession end on its own, or does it require outside intervention? Does a recession in one country mean that the rest of the world will follow? Are we in a recession now?Economist Tyler Goodspeed answers these questions and many more in Recession, a groundbreaking new analysis of economic contractions over the past four centuries. This book combines the historian's extensive primary sources with the economist's range of statistical analyses, to rewrite what we know about recessions.
Contrary to popular belief, recessions are neither the inevitable collapse that follows an unsustainable boom, nor do they act like wildfires that wipe out economic waste.Recessions result from negative shocks such as wars and high energy prices; Far from unleashing storms of creative destruction, economic growth following a recession usually resumes the same trend as before – suffering without gain.Although economic downturns are becoming less frequent over time, decisions made by companies and governments can prolong them, and Goodspeed offers tips to avoid making them worse. Recession is an important corrective to economic thought and essential reading for high-level policymakers and economics enthusiasts alike.
