What is the purpose of a recession?

This is a discussion on What is the purpose of a recession? within the Economic & Fundamental Analysis forums, part of the Methodologies category; A loose answer would be to re-establish economic soundness, but can anyone offer more detailed answers?...

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What is the purpose of a recession?

A loose answer would be to re-establish economic soundness, but can anyone offer more detailed answers?
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A recession doesn't have a purpose. It's not a conscious thing. It's just a state of economic being.
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I thought it was a lifestyle choice......
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It swings the pendulum to the opposite end, from Feast to Famine.
If ever it gets to stay in the middle you'll know that life is as it should be - in a sensible balance.
Human nature means that being in the middle doesn't happen for long.
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Recession depression is demise death pruning clearing of the deadwood.
From this comes new growth. ( in theory )
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Quote:
Originally Posted by Dispassionate View Post
A loose answer would be to re-establish economic soundness, but can anyone offer more detailed answers?

Yes. What happened 6 months ago, really had no effect on what happened yesterday to you!

It is is all reality, a pre designed plan for those that have masses of money to simply take more money from the people that do not have enough in the first place.

6 months ago your house was worth 200,000. Now it is worth 140,000.

What has changed?

Answer: **** all. It is all man made by manipulators.

Free trade?

**** off.
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What is the purpose of a recession?
It's a pull back to support !


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Quote:
What is the purpose of a recession?
Redistribution of Wealth and usually towards those with a great deal of wealth to start with.


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