What Is a Recession Technically
The gist
A recession is technically defined as a period of significant decline in economic activity across the economy, lasting more than a few months, often visible in GDP, income, employment, and production.
Explain like I'm 5
Imagine the economy is like a big machine that makes things and jobs; a recession is when this machine slows down a lot and for a while, so fewer people have jobs and less stuff gets made.
Big picture
Understanding recessions helps governments and businesses prepare for tough times and try to fix problems that slow down the economy, aiming to protect people's jobs and incomes.