Education·24 January 2026·4 min read
What is a recession — when the economy goes backward
You hear "we're entering a recession" and get scared. What it really means, and how to prepare.
A recession is a period when the economy contracts — less is produced, sales fall and layoffs appear. Technically, it's called a recession after two consecutive quarters of falling GDP.
Part of the cycle
Economies rise and fall in cycles — it's normal. Recessions are painful, but temporary. The best personal shield: an emergency fund and debt kept under control. Exactly the habits you practice in Kosron Bank.
