I hear all this hype about a “global recession” and from what I’ve gathered, it seems like:
a) prices rise
and
b) wages don’t increase
Therefore:
Everyone has less money to buy the things they need.
However, I’ve been reading a bit, and on the Resolved Questions, it seems that recessions generally lead to items that cost LESS.
Now I’m very confused. Could somebody please explain the implications of a recession?
Sell House Quick
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alright, people are buying less, so companies have less money to pay employees with, so people earn less money and buy even less. next stores begin to go out of business, more people lose their jobs, the reason prices go down is because these companies are losing so much money that they cannot afford to raise prices or even keep prices at their previous rate. The reason for this is because once somebody doesn’t NEED something, and they can’t afford it, they won’t buy it, so stores have to make things more affordable.