What Is a Recessionary Hollow? Definition, Causes, and Example
What Is a Recessionary Gap? A recessionary gap, or contractionary gap, is a macroeconomic term used when a country’s real gross domestic product (GDP) is lower than its GDP at full employment. Key Takeaways A recessionary gap, or contractionary gap, occurs when a country’s real GDP is lower than its GDP at full employment.Recessionary gaps