Definition
Lowest point in an economic cycle characterized by (1) reduced purchasing power, (2) mass unemployment, (3) excess of supply over demand, (4) falling prices, or prices rising slower than usual, (5) falling wages, or wages rising slower than usual, and (6) general lack of confidence in the future. Also called a slump, a depression causes a drop in all economic activity. Major depressions may continue for several years, such as the great depression (1930-40) that had worldwide impact. See also recession.
Business Tips
The Difference Between a Recession and a Depression
Recession is when your neighbor loses his job; depression is when you lose yours. ... Read more
Related Videos
http://www.businessdictionary.com/definition/depression.html


