On the other hand, a slowdown refers to a situation whereby economic growth occurs but a reduced or slow rate. Subsiding labour market momentum 4. Even with a resumption in normal credit conditions you would have a lot of difficulty getting back to full employment. US (UK go-slow) an occasion when employees work more slowly and with less effort than usual to try to persuade an employer to agree to higher pay or better working conditions. [28], Japan has been suffering economic or secular stagnation for most of the period since the early 1990s. A prescient analysis of stagnation and what is now called financialization was provided in the 1980s by Harry Magdoff and Paul Sweezy, coeditors of the independent socialist journal Monthly Review. The slowdown in the Indian economy is partly cyclical and partly structural. [38], The German Institute for Economic Research sees a connection between secular stagnation and the regime of low interest rates (Zero interest-rate policy, negative interest rates). The tight labor market was a factor in productivity gains allowing workers to maintain or increase their nominal wages during the secular deflation that caused real wages to rise in the late 19th century. Konjunkturabschwächung { noun feminine } This is mainly caused by the global economic slowdown but also by the current political security crisis. slowdown of economic activity and stands in direct contrast to economic growth a period when there is less business activity than usual in a company, the economy, etc. ", "Economic History of Tractors in the United States", "Technological Change and Economic Growth the Interwar Years and the 1990s", "Total Debt to GDP Trumps Everything Else", "U.S. The term can refer to the economy as a whole or a component of it. Capital was so scarce before the Civil War that private investors supplied only a fraction of the money to build railroads, despite the large economic advantage railroads offered. Share. Viele übersetzte Beispielsätze mit "economic slowdown" – Deutsch-Englisch Wörterbuch und Suchmaschine für Millionen von Deutsch-Übersetzungen. [31], Another is that the damage done by the Great Recession was so long-lasting and permanent, so many workers will never get jobs again, that we really can't recover. Definition wirtschaftlich, Abkühlung: Das Substantiv Englische Grammatik. Although productivity never returned to peak levels, it did enjoy a revival with the growth of the computer and communications industries in the 1980s and 1990s. Over the last several months, when factories, offices, restaurants and other places of social gathering have been (intermittently) shut, people’s creativity has taken all sorts of unexpected directions. [28], One theory is that the boost in growth by the internet and technological advancement in computers of the new economy does not measure up to the boost caused by the great inventions of the past. Tires had been rationed due to shortages of natural rubber; however, the U.S. government built synthetic rubber plants. U.S. birth rates began to recover by the time of World War II, and turned into the baby boom of the postwar decades. Most importantly, cheap food essentially eliminated malnutrition in countries like the United States and much of Europe. In their 1987 book, Stagnation and the Financial Explosion, they argued, based on Keynes, Hansen, Michał Kalecki, and Marx, and marshaling extensive empirical data, that, contrary to the usual way of thinking, stagnation or slow growth was the norm for mature, monopolistic (or oligopolistic) economies, while rapid growth was the exception.[23]. Charles I. Jones. For example, if GDP goes from 5% growth to 3% growth, an economy is experiencing a slowdown. An economic slowdown occurs when the rate of growth in the GDP of an economy slows from the previous period. In the United Kingdom, it is defined as a negative economic growth for two consecutive quarters. [10] After the war, commercial aviation, plastics and synthetic rubber would become major industries and synthetic ammonia was used for fertilizer. Outlook: No prospect of a speedy recovery 3. C. Paepke and Tyler Cowen. [32][33] Economists, such as Paul Krugman, attribute the stagnation to a liquidity trap (a situation in which monetary policy is unable to lower nominal interest rates because these are close to zero) exacerbated by demographics factors. They must spend a more significant share of each dollar on necessities until they reach a living wage. The economic slowdown also means businesses need extra cash flow. How the Digital Economy Could Lead to Secular Stagnation", "Japan's Financial Crisis and Economic Stagnation", Paul Krugman-Bubbles, Regulation and Secular Stagnation-September 25, 2013, "Marco Nappollini- Pieria.com-Secular Stagnation and Post Scarcity-November 19, 2013", Paul Krugman-Conscience of a Liberal Blog-Secular Stagnation, Coalmines, Bubbles, and Larry Summers-November 16, 2013, Robert J. Gordon-Is U.S. Economic Growth Over? They are more likely to save or invest additions to income instead of spending. Slowdown definition: A slowdown is a reduction in speed or activity. The economic slowdown has affected both public and privates sectors… Paul Krugman wrote in September 2013: "[T]here is a case for believing that the problem of maintaining adequate aggregate demand is going to be very persistent – that we may face something like the 'secular stagnation' many economists feared after World War II." Productivity growth began to slow down sharply in developed countries after 1973, but there was a revival in the 1990s which still left productivity growth below the peak decades earlier in the 20th century. Construction of structures, residential, commercial and industrial, fell off dramatically during the depression, but housing was well on its way to recovering by the late 1930s.[10]. Economic Slowdown synonyms. Something that changed everyone’s lives so profoundly – leaving no country or continent untouched – was bound to have a significant impact on our language. [5], The U.S. economy of the early 19th century was primarily agricultural and suffered from labor shortages.[7]. Suburbs began a rapid expansion and automobile ownership increased.[10]. Define slowdown. Get the latest news and gain access to exclusive updates and offers. Infrastructures: The highway system continued to expand. “The global economy is now in a synchronized slowdown,” Georgieva said in her speech, adding that the deceleration will cause global growth to slide to its lowest since the start of the decade. The war created pent up demand for many items as factories that once produced automobiles and other machinery converted to production of tanks, guns, military vehicles and supplies. Labor did suffer temporary setbacks, such as when railroads cut wages during the Long Depression of the mid-1870s; however, this resulted in strikes throughout the nation. But the economic slowdown will level off and is in fact beneficial for the restructuring of the country's economy and ensuring sustainable growth, it said, adding: "China's economic fundamentals are still very good." ", "The End of Economic Growth? And best of all it's ad free, so sign up now and start using at home or in the classroom. That is, we will often find ourselves facing persistent shortfalls of demand, which can’t be overcome even with near-zero interest rates. Carl Benedikt Frey, for example, has suggested that digital technologies are much less capital-absorbing, creating only little new investment demand relative to other revolutionary technologies. Download our English Dictionary apps - available for both iOS and Android. The term "secular stagnation" was originally coined by Alvin Hansen in 1938 to "describe what he feared was the fate of the American economy following the Great Depression of the early 1930s: a check to economic progress as investment opportunities were stunted by the closing of the frontier and the collapse of immigration". Definition (britisch) economic, slowdown: Definition (amerikanisch) economic, slowdown: Thesaurus, Synonyme, Antonyme economic, slowdown: Etymology economic, slowdown: wirtschaftliche Abkühlung. Under some definitions, "slow" means significantly slower than potential growth as estimated by macroeconomists, even though the growth rate may be nominally higher than in other countries not experiencing economic stagnation. Garraty, John Arthur The American Nation: A History of the United States to 1877 (1995) [1][2], Warnings similar to secular stagnation theory have been issued after all deep recessions, but they usually turned out to be wrong because they underestimated the potential of existing technologies.[3]. Create an account and sign in to access this FREE content, The American Nation: A History of the United States to 1877. needs to be approached in a realistic manner. As new territories were opened and federal land sales conducted, land had to be cleared and new homesteads established. Structural factors may include: The rates of savings and investment in the Indian economy have declined, as also exports and total credit. Slowdown. The trade disputes are taking a toll and global trade growth has come to a near standstill. Because there was little mechanization, almost all work was done by hand or with horses, mules and oxen until the last two decades of the 19th century. The use of electricity grew steadily as prices continued to fall, although at a slower rate than in the early decades. Amaze your friends with your new-found knowledge! Assessment of the monetary policy measures 4. Faltering Innovation Confronts the Six Headwinds-August 2012, "The Natural Rate of Interest and Secular Stagnation", "Technological Transformations and Long Waves", https://en.wikipedia.org/w/index.php?title=Economic_stagnation&oldid=991502378, Creative Commons Attribution-ShareAlike License. There were numerous strikes and other labor movements for a ten-hour day. Steel consumption peaked in 1973, both on an absolute and per-capita basis, and never returned to previous levels. Economic slowdown synonyms, Economic slowdown pronunciation, Economic slowdown translation, English dictionary definition of Economic slowdown. [26], However, The Economist criticizes secular stagnation as "a baggy concept, arguably too capacious for its own good". [8], The decade of the 1880s saw great growth in railroads and the steel and machinery industries. [35], Larry Summers presented his view during November 2013 that secular (long-term) stagnation may be a reason that U.S. growth is insufficient to reach full employment: "Suppose then that the short term real interest rate that was consistent with full employment [i.e., the "natural rate"] had fallen to negative two or negative three percent. Antonyms for Economic slowdown. The COVID-19 pandemic hit when the economy was already in recession due to drought and a slowdown in tourism in the second half of 2019. [19] The energy intensity of the United States and many other developed economies also began to decline after 1973. Productivity Performance in Perspective, Business Economics, October 1, 1991", The Recent Rise and Fall of Rapid Productivity Growth, Larry Summers-U.S. Economic Prospects-Keynote Address at the NABE Conference 2014, Hans-Werner Sin, Forget Inflation, February 26, 2009, "IMF Fourteenth Annual Research Conference in Honor of Stanley Fischer", "Is The Economy Suffering From Secular Stagnation? Health care expenditures rose to over 17% of the economy. Lernen Sie die Übersetzung für 'economic slowdown' in LEOs Englisch ⇔ Deutsch Wörterbuch. The economy benefits when most of the gain goes toward low-income families. "[36][37], Robert J. Gordon wrote in August 2012: "Even if innovation were to continue into the future at the rate of the two decades before 2007, the U.S. faces six headwinds that are in the process of dragging long-term growth to half or less of the 1.9 percent annual rate experienced between 1860 and 2007. This Friday, 13 November is World Kindness Day, an awareness day launched in 1998 with the aim of encouraging benevolent acts by individuals, organizations, and countries. Das Substantiv (Hauptwort, Namenwort) dient zur Benennung von Menschen, Tieren, Sachen u. Ä. Secular stagnation was dusted off by Hans-Werner Sinn in a 2009 article [25] dismissing the threat of inflation, and became popular again when Larry Summers invoked the term and concept during a 2013 speech at the IMF. economic slowdown . Euro area: economic slowdown, easing of monetary policy 1. Labor productivity rose 26.5% and GDP nearly doubled.[9]. For example, if GDP goes from 5% growth to 3% growth, an economy is experiencing a slowdown. Railroad locomotives switched from steam to diesel power, with a large increase in fuel efficiency. The economy doesn't benefit as much when increases go toward high-income earners. [28], A third is that there is a "persistent and disturbing reluctance of businesses to invest and consumers to spend", perhaps in part because so much of the recent gains have gone to the people at the top, and they tend to save more of their money than people—ordinary working people who can't afford to do that. [1] Warnings similar to secular stagnation theory have been issued after all deep recessions, but they all turned out to be wrong because they underestimated the potential of existing technologies. Such changes suggest, contrary to the … The depression years were the period of the highest total factor productivity growth in the United States, primarily to the building of roads and bridges, abandonment of unneeded railroad track and reduction in railroad employment, expansion of electric utilities and improvements wholesale and retail distribution. She blamed the slowdown on a range of issues, but clubbing them under one common theme— fractures. Krugman wrote that fiscal policy stimulus and higher inflation (to achieve a negative real rate of interest necessary to achieve full employment) may be potential solutions. [5], According to Alan Sweezy "the idea of secular stagnation runs through much of Keynes General Theory". Slowdown definition is - a slowing down. Even with artificial stimulus to demand you wouldn't see any excess demand. Purchase of structures and equipment increased 500% from the previous decade. Alan Sweezy described the difference: "But, whereas business-cycle theory treats depression as a temporary, though recurring, phenomenon, the theory of secular stagnation brings out the possibility that depression may become the normal condition of the economy." a slowdown in production. How to use slowdown in a sentence. What is making investors nervous, and … Times, Sunday Times (2008) High unemployment and the economic slowdown gradually reduced consumer demand for goods and services. They were needed in the rapidly growing aircraft manufacturing industry.[11]. ID 6284 DOI 10.3386/w6284 Issue Date November 1997. Under some definitions, "slow" means significantly slower than potential growth as estimated by macroeconomists, even though the growth rate may be nominally higher than in other countries not experiencing economic stagnation. China's economy has been slowing for the better part of the past decade, but a recent run of poor data has prompted fresh concerns. Economic dichotomy continues 2. German economy: in a downturn 1. | Meaning, pronunciation, translations and examples Secular stagnation refers to "a condition of negligible or no economic growth in a market-based economy". This resulted in constant spending for defense programs, creating what President Eisenhower called the military-industrial complex. The general form of the argument has been the subject of papers by Robert J. Economic Slowdown A situation in which GDP growth slows but does not decline. The period following the 1973 oil crisis was characterized by stagflation, the combination of low economic and productivity growth and high inflation. : slowdown in sth Labor Department statistics released last Friday showed an unexpected slowdown in hiring. The warm wet weather is working wonders on the, Mobile signals enabled police to place them at the. n. The act or process of slowing down; a slackening of pace: a production slowdown. translation and definition "economic slowdown", English-German Dictionary online. The workweek during most of the 19th century was over 60 hours, being higher in the first half of the century, with twelve-hour work days common. Two cyclical factors are Shadow banking stress (NBFC crisis) and weaker global demand. Copy to clipboard; Details / edit; GlosbeMT_RnD. Stronger economic growth resumed and inflation declined during the 1980s. [29] It has also been written about by Owen. These include demography, education, inequality, globalization, energy/environment, and the overhang of consumer and government debt. A recent book titled The Great Stagnation: How America Ate All the Low-Hanging Fruit of Modern History, Got Sick and Will (Eventually) Feel better by Tyler Cowen is one of the latest of several stagnation books written in recent decades. The end of armaments production freed up hundreds of thousands of machine tools, which were made available for other industries. Informally, a national recession is a period of declining economic output. [34], Economists have asked whether the low economic growth rate in the developed world leading up to and following the subprime mortgage crisis of 2007–2008 was due to secular stagnation. a period when growth is negative, leading to a contraction in employment, incomes and profits. Considerable easing of monetary policy 3. President Donald Trump has lashed out at the Federal Reserve several times. Teleworking is working from home using equipment such as telephones, fax machines, and modems to contact people. The impact of the pandemic on the economy is projected to be severe due to the collapse in tourism activity and the indirect effects of the necessary containment and mitigation measures. n. The act or process of slowing down; a slackening of pace: a production slowdown. [16] This enabled a recovery in GDP growth rates; however, debt in the period following 1982 grew at a much faster rate than GDP.[17][18]. Economic stagnation is a prolonged period of slow economic growth (traditionally measured in terms of the GDP growth), usually accompanied by high unemployment. In the United States, it is defined as "a significant decline in economic activity spread across the market, lasting more than a few months, normally visible in real GDP, real income, employment, industrial production, and wholesale-retail sales". Economic stagnation is a prolonged period of slow economic growth (traditionally measured in terms of the GDP growth), usually accompanied by high unemployment. In a 1974 New York Times article, Julius Shiskin suggested several rules of thumb to identify a recession, which included two successive quarterly declines in gross domestic product (GDP), a measure of the nation's output. [28], And a fourth is that advanced economies are just simply paying the price for years of inadequate investment in infrastructure and education, the basic ingredients of growth. [10] This helped the United States, which escaped the devastation of World War II, to quickly convert back to peacetime production. A situation in which GDP growth slows but does not decline. [16][20][21] Productivity growth in the U.S. slowed again since the mid-2000s.[22]. It’s no surprise that quite a few of the words on Collins Word of the Year 2020 shortlist have one big thing in common: the pandemic. While Trump sees the economy as doing well despite higher rates, we’re seeing a US economic slowdown. economic slowdown definition in the English Cobuild dictionary for learners, economic slowdown meaning explained, see also 'economics',economical',economically',economist', English vocabulary traduction slowdown dans le dictionnaire Anglais - Francais de Reverso, voir aussi 'slow down',showdown',slow',slow motion', conjugaison, expressions idiomatiques At least since 1950, the United States has been stimulated by increases in educational attainment, increases in research intensity, and the increased openness and development of the world economy. See more. Turning Point by Robert Ayres and The Evolution of Progress by C. Owen Paepke were earlier books that predicted the stagnation. Gordon. [39], "Economic immobility" redirects here. We have almost 200 lists of words from topics as varied as types of butterflies, jackets, currencies, vegetables and knots! In the 1980s and 1990s Magdoff and Sweezy argued that a financial explosion of long duration was lifting the economy, but this would eventually compound the contradictions of the system, producing ever bigger speculative bubbles, and leading eventually to a resumption of overt stagnation. A recession means a fall in the level of real national output i.e. Better roads and increased investment in the distribution system of trucks, warehouses and, Mechanization of agriculture increased dramatically, especially the use of, This page was last edited on 30 November 2020, at 11:52. The period was also characterized by high interest rates, which is not entirely consistent with secular stagnation. [3], Paul Krugman, writing in 2014, clarified that it refers to "the claim that underlying changes in the economy, such as slowing growth in the working-age population, have made episodes like the past five years in Europe and the United States, and the last 20 years in Japan, likely to happen often. Hundreds of thousands of immigrants came to the United States every year and found jobs digging canals and building railroads. For the concept in financial economics, see, Historical periods of stagnation in the United States, End of stagnation in the U.S. after the Great Depression, Stagnation and the financial explosion: the 1980s, "The secular stagnation hypothesis: a review of the debate and some insights. The Upcoming Slowdown in U.S. Economic Growth. A sluggish economy is a state of an economy when growth is slow, flat or declining. Looking at economic activity in the period April to June 2019, it is safe to say that the GDP growth would have slowed down further during the period. Synonyms for Economic slowdown in Free Thesaurus. Magdoff was a former economic advisor to Vice President Henry A. Wallace in Roosevelt’s New Deal administration, while Sweezy was a former Harvard economics professor. Twitter LinkedIn Email. Economic situation 2. Outlook III. Top synonyms for economic slowdown (other words for economic slowdown) are economic downturn, economic decline and economic contraction. The U.S. economy experienced structural changes following the stagflation. a reduction in speed, activity, or the rate that things are produced: a worldwide economic slowdown. Economic slowdown Definition: Economic means concerned with the organization of the money, industry, and trade of a... | Bedeutung, Aussprache, Übersetzungen und Beispiele More people purchased washing machines, dryers. An economic slowdown is a natural part of the business cycle. "[27] At its root is "the problem of building consumer demand at a time when people are less motivated to spend". Slowdown definition, a slowing down or delay in progress, action, etc. A slowdown occurs when the rate of growth decelerates – but national output is still rising ; If the economy grows without falling into recession, this is called a soft-landing; Recession. ", "Does the New Economy Measure Up to the Great Inventions of the Past? [30], Secular stagnation has also been linked to the rise of the digital economy. An example of such a great invention is the assembly line production method of Fordism. A provocative 'exercise in subtraction' suggests that future growth in consumption per capita for the bottom 99 percent of the income distribution could fall below 0.5 percent per year for an extended period of decades". The memory of war created a need for preparedness in the United States. [4] In this context, the term secular is used in contrast to cyclical or short-term, and suggests a change of fundamental dynamics which would play out only in its own time. slowdown synonyms, slowdown pronunciation, slowdown translation, English dictionary definition of slowdown. High-yielding crops and chemical fertilizers dramatically increased crop yields and greatly lowered the cost of food, giving consumers more discretionary income. A building boom commenced in the years following the war. Many trends that began before the war continued: The workweek never returned to the 48 hours or more that was typical before the Great Depression.[14][15]. Most analysts do not consider a slowdown to be a recession, but unemployment may rise and productivity may decline. Definition of economic slowdown: nouna general reduction in a country's economic activity Our new online dictionaries for schools provide a safe and appropriate environment for children. The U.S. government also built ammonia plants, aluminum smelters, aviation fuel refineries and aircraft engine factories during the war. All the latest wordy news, linguistic insights, offers and competitions every month. Mit Flexionstabellen der verschiedenen Fälle und Zeiten Aussprache und … Private accumulation had a strong tendency to weak growth and high levels of excess capacity and unemployment/underemployment, which could, however, be countered in part by such exogenous factors as state spending (military and civilian), epoch-making technological innovations (for example, the automobile in its expansionary period), and the growth of finance. "It is likely the economic slowdown will stabilise in the future, but the chance of a double dip is not likely," the central bank said.
2020 economic slowdown definition