Economic stagnation, often called simply stagnation, is a prolonged period of slow economic growth (traditionally measured in terms of the GDP growth). Economic growth is the increase in the amount of the goods and services produced by an economy over time Under some definitions, "slow" means significantly slower than potential growth as estimated by experts in macroeconomics. Macroeconomics is a branch of Economics that deals with the performance structure and behavior of a national or regional Economy as a whole Under other definitions, growth less than 2-3% per year is a sign of stagnation.
The term bears negative connotations, but slow economic growth is not always the fault of economic policymakers. For example, potential growth may be slowed down by catastrophic or demographic reasons.
Economic stagnation theories originated during the Great Depression and came to be associated with early Keynesian economics and Harvard economics professor Alvin Hansen. In Economics Keynesian economics (ˈkeɪnziən also Keynesianism and Keynesian Theory) is based on the ideas of twentieth-century British economist Alvin Harvey Hansen (1887-1975 once referred to as "the American Keynes" brought the 1930s Keynesian economics revolution to the United States.
Other terms related to economic dynamics are
A recession is a contraction phase of the Business cycle. The U Stagflation is an economic situation in which Inflation and Economic stagnation occur simultaneously and remain unchecked for a period of time The term business cycle or economic cycle refers to the fluctuations of economic activity during its long term growth trend Economic rejuvenation, often called economic growth is a prolonged period of fast Economic growth (traditionally measured in terms of the GDP growthDapyx Software network: MP3 Explorer | Ebook Manager | Zenithic