Thursday, December 31, 2009

The Definition of Recession

What causes a recession? As and when the value of the wealth one behold either diminishes its shine it generally carry together due to over availability or become scarce due to unavailability of fund for whatever reason, all feel a sudden financial insecurity to choose one item over the others considering it more secure than the other to store for a possible future use to make an exchange with whatever fund is available with one, triggering a haphazard movement of fund coupled with iritic consumption of consumables to cause a recession to happen without being sure whether the said action of one is correct or not. An instant opposition to it amasses shall cause it to die soonest and hence fighting of both deficit as well as scarcity to keep a balance in availability of fund in the hands of General Public as is used to be prior to recession either within the Country or within the Globe are most important to fight any happening of recession most rightfully.

As and when the aforesaid automatic set order within as well as outside of a particular entity that constitutes a State or a Nation or a Country or the Globe become lose for whatever reason, we often see a sudden change in behavior in entire of us to protect ourselves from a possible foreseen collapse of the system. As there is no dearth of wealth available in the Globe which is instead getting strengthen every passing day through the contribution of each and every of us by performing all of our collective actions being done anywhere within the Globe nonetheless accommodated in a single place which is mostly remaining unmoved forcing it to develop or create itself unlimited numbers of voids within the system to make the current Economic crisis,it is hence far different than that of the recession faced during 1930’s or all other happenings to equate. While the happenings of earlier recession were more or less due to failure of the system, the current crisis is forcefully created action which caught entire of us unaware but well known to a particular few.

Accordingly what is appropriate for a particular Country may not hold good for the other one and hence need to be handed differently depending upon to what extent one is affected out of the action of the current recession to get an appropriate result. Since any commerce done anywhere within the Globe between any two parties, it always develop a relationship beyond the two involved or who are engaged in doing of a direct Business between each other in the terms of exchanging of fund which might involve a currency, none of the parties depended upon to manage themselves within their respective Countries while fruitfully executing the agreement. Therefore, any stress undertaken by a predominant Currency shall have an overall effect or impact on the entire of us being the main force behind creating the liquidity of the fund to flow everywhere at most eases to benefit the entire without an exception. Hence the fund was attracted to a particular place not through adaptation of automatic means by virtue of higher quality but by various other forceful methods made easy by these vested interests that were well verse with the system

As far as Global currency is concerned it is being equitable distributed over the Globe, any strain faced at the origin where the Currency takes its birth with utmost of honesty infused, a sudden loss or scarcity of currency for whatever reason, must be seen from an overall point of view being such currencies carry utmost value of the Country where it is often generated and hence any arrest anywhere shall allow a draw a contraction of the fund under circulation to grow further but shall see a dyeing of it either today or tomorrow in absence appropriate nurturing. In order to keep the value that behold by a particular currency must be appropriately restored so that no dirt is attached to it while storing elsewhere under lock and key.

As far as commodity is concerned, any scarcity anywhere in the Globe is purely physical to see ourselves in pain and can never be substituted through infuse of value into it unless and until the items that are in shortfall are replaced through any other means. But there is neither any shortage of any commodities nor availability of fund to create a false demand to store any for facing any unforeseen calamities. Accordingly as and when we enforce a strict overseeing of the flow of fund from one hand to the other not to break the protocol of doing Businesses between one and the other towards mass production of goods are concerned, the recession shall automatically ease out, exactly the way it has come to embrace us.


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