Understanding Recessions

What is a key indicator that a country is experiencing a recession?

• Expansion of businesses

• Increase in GDP

• High levels of unemployment

• Rise in consumer spending

Which event caused the UK to enter a recession in August 2020?

• Financial crisis of 2008

• Coronavirus pandemic

• Brexit

• Oil price shock

How often have recessions occurred in the UK since 1956?

• Twice

• Never

• Multiple times

• Only once

Who is most likely to feel the impact of a recession more severely?

• Low-income individuals

• Middle-income individuals

• Business owners

• High-income individuals

What is a common consequence for businesses during a recession?

• Higher consumer spending

• Expansion of operations

• Increased profitability

• Reduction in footfall and revenue