What causes a recession?
Everyone is wondering whether the economy is going into a recession — or if we are already in one.
But what causes a recession?
A recession is caused when a chain of events, like a line of dominoes, picks up momentum and does not stop until the economy shrinks. Each event is connected to something that happened before and something that will happen in the future. If the price of a hamburger goes up, you might stop buying hamburgers. This would impact a restaurant, and that would impact a server....