The definition of an economic recession is a slowdown in the Gross Domestic Product resulting from less production, less consumer spending and a rise in unemployment over a period of six to twelve months.
Economists have varying theories on the measurable causes of an economic recession because many of the factors can be psychological on the part of investors. However, there are some tangible causes of recession.
An example of an economic recession is a six month period of raising unemployment, reduced production and a negative growth in overall business sales.