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. Slowdown. For example, if GDP goes from 5% growth to 3% growth, an economy is experiencing a slowdown. n. The act or process of slowing down; a slackening of pace: a production slowdown. Das Substantiv (Hauptwort, Namenwort) dient zur Benennung von Menschen, Tieren, Sachen u. Ä. Health care expenditures rose to over 17% of the economy. The U.S. government also built ammonia plants, aluminum smelters, aviation fuel refineries and aircraft engine factories during the war. High-yielding crops and chemical fertilizers dramatically increased crop yields and greatly lowered the cost of food, giving consumers more discretionary income. 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. How to use slowdown in a sentence. Most analysts do not consider a slowdown to be a recession, but unemployment may rise and productivity may decline. The economic slowdown has affected both public and privates sectors… Subsiding labour market momentum 4. ID 6284 DOI 10.3386/w6284 Issue Date November 1997. 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. Secular stagnation refers to "a condition of negligible or no economic growth in a market-based economy". An example of such a great invention is the assembly line production method of Fordism. | Meaning, pronunciation, translations and examples And best of all it's ad free, so sign up now and start using at home or in the classroom. The slowdown in the Indian economy is partly cyclical and partly structural. Our new online dictionaries for schools provide a safe and appropriate environment for children. The use of electricity grew steadily as prices continued to fall, although at a slower rate than in the early decades. [5], The U.S. economy of the early 19th century was primarily agricultural and suffered from labor shortages.[7]. All the latest wordy news, linguistic insights, offers and competitions every month. Economic situation 2. Infrastructures: The highway system continued to expand. Outlook: No prospect of a speedy recovery 3. Antonyms for Economic slowdown. 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. Such changes suggest, contrary to the … [5], According to Alan Sweezy "the idea of secular stagnation runs through much of Keynes General Theory". Even with artificial stimulus to demand you wouldn't see any excess demand. 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". [30], Secular stagnation has also been linked to the rise of the digital economy. On the other hand, a slowdown refers to a situation whereby economic growth occurs but a reduced or slow rate. Economic Slowdown A situation in which GDP growth slows but does not decline. Download our English Dictionary apps - available for both iOS and Android. : slowdown in sth Labor Department statistics released last Friday showed an unexpected slowdown in hiring. [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). 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. A building boom commenced in the years following the war. [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. They are more likely to save or invest additions to income instead of spending. Get the latest news and gain access to exclusive updates and offers. For example, if GDP goes from 5% growth to 3% growth, an economy is experiencing a slowdown. 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. The period following the 1973 oil crisis was characterized by stagflation, the combination of low economic and productivity growth and high inflation. 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. 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. [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. Top synonyms for economic slowdown (other words for economic slowdown) are economic downturn, economic decline and economic contraction. 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. [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. Slowdown definition, a slowing down or delay in progress, action, etc. [26], However, The Economist criticizes secular stagnation as "a baggy concept, arguably too capacious for its own good". Most importantly, cheap food essentially eliminated malnutrition in countries like the United States and much of Europe. Economic stagnation is a prolonged period of slow economic growth (traditionally measured in terms of the GDP growth), usually accompanied by high unemployment. [28], Japan has been suffering economic or secular stagnation for most of the period since the early 1990s. Labor productivity rose 26.5% and GDP nearly doubled.[9]. Definition of economic slowdown: nouna general reduction in a country's economic activity [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. [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. A recession means a fall in the level of real national output i.e. That is, we will often find ourselves facing persistent shortfalls of demand, which can’t be overcome even with near-zero interest rates. 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. Suburbs began a rapid expansion and automobile ownership increased.[10]. [19] The energy intensity of the United States and many other developed economies also began to decline after 1973. 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. Lernen Sie die Übersetzung für 'economic slowdown' in LEOs Englisch ⇔ Deutsch Wörterbuch. This resulted in constant spending for defense programs, creating what President Eisenhower called the military-industrial complex. ", "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. 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." Gordon. 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". [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. Steel consumption peaked in 1973, both on an absolute and per-capita basis, and never returned to previous levels. Konjunkturabschwächung { noun feminine } This is mainly caused by the global economic slowdown but also by the current political security crisis. ", "The End of Economic Growth? 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]. There were numerous strikes and other labor movements for a ten-hour day. "[27] At its root is "the problem of building consumer demand at a time when people are less motivated to spend". n. The act or process of slowing down; a slackening of pace: a production slowdown. 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]. Share. Garraty, John Arthur The American Nation: A History of the United States to 1877 (1995) Even with a resumption in normal credit conditions you would have a lot of difficulty getting back to full employment. economic slowdown . We have almost 200 lists of words from topics as varied as types of butterflies, jackets, currencies, vegetables and knots! a period when growth is negative, leading to a contraction in employment, incomes and profits. U.S. birth rates began to recover by the time of World War II, and turned into the baby boom of the postwar decades. A situation in which GDP growth slows but does not decline. 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. She blamed the slowdown on a range of issues, but clubbing them under one common theme— fractures. Assessment of the monetary policy measures 4. [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. The Upcoming Slowdown in U.S. Economic Growth. Railroad locomotives switched from steam to diesel power, with a large increase in fuel efficiency. a slowdown in production. Structural factors may include: The rates of savings and investment in the Indian economy have declined, as also exports and total credit. In the United Kingdom, it is defined as a negative economic growth for two consecutive quarters. Something that changed everyone’s lives so profoundly – leaving no country or continent untouched – was bound to have a significant impact on our language. 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. They must spend a more significant share of each dollar on necessities until they reach a living wage. Tires had been rationed due to shortages of natural rubber; however, the U.S. government built synthetic rubber plants. “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. a reduction in speed, activity, or the rate that things are produced: a worldwide economic 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]. 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. German economy: in a downturn 1. 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. Two cyclical factors are Shadow banking stress (NBFC crisis) and weaker global demand. 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. Economic Slowdown synonyms. Economic stagnation is a prolonged period of slow economic growth (traditionally measured in terms of the GDP growth), usually accompanied by high unemployment. "[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. Economic dichotomy continues 2. 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." These include demography, education, inequality, globalization, energy/environment, and the overhang of consumer and government debt. President Donald Trump has lashed out at the Federal Reserve several times. 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. Considerable easing of monetary policy 3. 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. [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. Charles I. Jones. 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. 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. [16][20][21] Productivity growth in the U.S. slowed again since the mid-2000s.[22]. [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]. translation and definition "economic slowdown", English-German Dictionary online. 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. The trade disputes are taking a toll and global trade growth has come to a near standstill. The U.S. economy experienced structural changes following the stagflation. 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." 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. As new territories were opened and federal land sales conducted, land had to be cleared and new homesteads established. The economic slowdown also means businesses need extra cash flow. Viele übersetzte Beispielsätze mit "economic slowdown" – Deutsch-Englisch Wörterbuch und Suchmaschine für Millionen von Deutsch-Übersetzungen. Synonyms for Economic slowdown in Free Thesaurus. The economy doesn't benefit as much when increases go toward high-income earners. They were needed in the rapidly growing aircraft manufacturing industry.[11]. [10] After the war, commercial aviation, plastics and synthetic rubber would become major industries and synthetic ammonia was used for fertilizer. 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. An economic slowdown is a natural part of the business cycle. The economy benefits when most of the gain goes toward low-income families. Turning Point by Robert Ayres and The Evolution of Progress by C. Owen Paepke were earlier books that predicted the stagnation. Definition wirtschaftlich, Abkühlung: Das Substantiv Englische Grammatik. Outlook III. 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. "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. 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. 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. Stronger economic growth resumed and inflation declined during the 1980s. 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. 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". Purchase of structures and equipment increased 500% from the previous decade. The warm wet weather is working wonders on the, Mobile signals enabled police to place them at the. Mit Flexionstabellen der verschiedenen Fälle und Zeiten Aussprache und … ", "Does the New Economy Measure Up to the Great Inventions of the Past? The general form of the argument has been the subject of papers by Robert J. 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]. What is making investors nervous, and … Times, Sunday Times (2008) High unemployment and the economic slowdown gradually reduced consumer demand for goods and services. [39], "Economic immobility" redirects here. Define slowdown. slowdown of economic activity and stands in direct contrast to economic growth The end of armaments production freed up hundreds of thousands of machine tools, which were made available for other industries. 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