V-Shaped Recovery

AAA

DEFINITION of 'V-Shaped Recovery'

A type of economic recession and recovery that resembles a "V" shape in charting. Specifically, a V-shaped recovery represents the shape of the chart of certain economic measures, such as employment, GDP and industrial output. A V-shaped recovery involves a sharp decline in these metrics followed by a sharp rise back to its previous peak.

INVESTOPEDIA EXPLAINS 'V-Shaped Recovery'

There are countless other shapes a recession and recovery chart could take, including L-shaped, W-shaped, U-shaped and J-shaped. Each shape represents the general shape of the chart of economic metrics that gauge the health of the economy.

RELATED TERMS
  1. Global Recession

    An extended period of economic decline around the world. The ...
  2. Jobless Recovery

    An economic recovery, following a recession, where the economy ...
  3. U-Shaped Recovery

    A type of economic recession and recovery that resembles a "U" ...
  4. L-Shaped Recovery

    A type of economic recession and recovery that resembles an "L" ...
  5. W-Shaped Recovery

    An economic cycle of recession and recovery that resembles a ...
  6. Gross Domestic Product - GDP

    The monetary value of all the finished goods and services produced ...
Related Articles
  1. Recession: What Does It Mean To Investors?
    Active Trading Fundamentals

    Recession: What Does It Mean To Investors?

  2. What is a V-shaped recovery and how ...
    Investing

    What is a V-shaped recovery and how ...

  3. 4 Tips For Buying Stocks In A Recession
    Economics

    4 Tips For Buying Stocks In A Recession

  4. Market Bottom: Are We There Yet?
    Options & Futures

    Market Bottom: Are We There Yet?

comments powered by Disqus
Hot Definitions
  1. Market Segmentation

    A marketing term referring to the aggregating of prospective buyers into groups (segments) that have common needs and will ...
  2. Effective Annual Interest Rate

    An investment's annual rate of interest when compounding occurs more often than once a year. Calculated as the following: ...
  3. Debit Spread

    Two options with different market prices that an investor trades on the same underlying security. The higher priced option ...
  4. Odious Debt

    Money borrowed by one country from another country and then misappropriated by national rulers. A nation's debt becomes odious ...
  5. Takeover

    A corporate action where an acquiring company makes a bid for an acquiree. If the target company is publicly traded, the ...
  6. Harvest Strategy

    A strategy in which investment in a particular line of business is reduced or eliminated because the revenue brought in by ...
Trading Center