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Economic Shock Definition
An economic shock is an event that occurs outside of an economic model that produces a significant change within an economy.
An Economic 'Shock' Could Derail the Bull Market
Fast global economic growth has propelled the bull market. When growth stalls and reverses, watch out.
Recognition Lag Definition
Recognition lag is the delay between when an economic shock occurs and when it is recognized by economists, central bankers, and the government.
Are Economic Recessions Inevitable?
Find out why future economic recessions are likely but not inevitable. See how logical arguments can be used to help understand large-scale phenomena.
Shock Therapy Definition
In economics, shock therapy theorizes that sudden, dramatic changes in national economic policy can turn a state-controlled economy into a free-market economy.
Economic Tsunami Definition
An economic tsunami is an economic disaster propelled by a single triggering event that subsequently spreads to other geographic areas and industry sectors.
Demand Shock Definition
A demand shock is a sudden change in the demand for goods or services given the same supply.
What are some common examples of demand shock?
Learn about some common examples of demand shock. Find out how demand shocks lead to surprisingly rapid increases or decreases in demand.
A contagion is the spread of an economic crisis from one market or region to another and can occur at both a domestic or international level.
Optimal Currency Area (OCA) Definition
An optimal currency area (OCA) is the geographic area in which a single currency would create the greatest economic benefit.