A recession can cause a multifaceted phenomenon influenced by various factors, with common contributors being:
Price shocks and natural disasters can increase production costs and decrease aggregate demand, leading to shortages and economic contraction.
Wars and trade disruptions can severely restrict access to crucial resources and markets, affecting global trade and investment.
Financial crises, economic uncertainty, job losses, and declining income can lead to decreased spending and investment.
Government policy tightening fiscal or monetary policies can short-term dampen economic activity.
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