Chad,a sales executive at Ochre Inc.,is laid off after Ochre faces severe financial losses in the second and third quarters of 2014.As a result,Chad is struggling to make ends meet with his limited savings.His debt has considerably increased,and he finding it difficult to pay his household bills.This situation is characteristic of _____.

Question

Quizplus · Accepted Answer

The situation described is indicative of a recession, which is a period of economic decline characterized by a decrease in GDP, increase in unemployment, and decrease in consumer spending. The layoff and financial losses at Ochre likely stem from decreased demand for the company's products/services, which is a common symptom of a recession.

Chad,a Sales Executive at Ochre Inc