define recession and depression
A common rule of thumb for recessions is two quarters of negative GDP growth. A depression is a prolonged period of economic recession marked by a significant decline in income and employment. There is no widely accepted definition of depressions. However, some people use a rule of thumb for a depression of 10% decline in economic output as measured by the GDP.
DEFINITION of 'Recession'. A significant decline in activity across the economy, lasting longer than a few months. It is visible in industrial production, employment, real income and wholesale-retail trade.
A common rule of thumb for recessions is two quarters of negative GDP growth. On the other hand, a depression is a prolonged period of economic recession marked by a significant decline in income and employment. Depressions are caused by the same factors that lead to a recession. Notice I used the words 'significant decline' and didn't give an amount of time.