What is recession and easy way to survive recession 2020

In this blog author wants to tell about recession and how to survive.

              Recession is a Golden egg for a successful investor's. So it's your choice to read this or not. I'd not then you will definitely miss some valuable information.


What is Recession or downswing?
      It is one part of business cycle. There are 4 phase in business cycle
          Shown in the above figure



What is business cycle then?
      The fluctuations in aggregate economic activity that an economy experience over a period of time are called business cycles or trade cycles. A noteworthy 
characteristics of these economic fluctuations is that, they are recurrent and occur periodically.


           It has been observed that some business cycles have been long, lasting for several years while others have been short ending in two to three years.

Now let's talk about recession and how to identify it?


    The economy cannot continue to grow endlessly. During recession there is fall in levels of investments and employment. At this time supply far exceeds demand. This happens only in few sectors and at a show pace, but rapidly spreads to all the sectors. This is the turning point and the beginning of recession.


                 At this time producers lower their prices in order to dispose off their inventors ( Amazon, Flipkart and many others are doing this now) for meeting their financial obligations.


          Bank credit shrinks as borrowings for investments declines, investor confidence is at its lowest, stock prices falls, and unemployment increases despite fall in wage rates. The severe recession in the economic activities pushes the economy into the phase of depression.



Now we are already watching the affects of recession,
Many companies have already removed lakhs of employees. Value of shares are decreasing and also the gold rates.

How to survive this peice of cake?


       Stop buying luxurious goods like phones, laptops, headphones, gold, vehicles and many more.  


                        Use money wisely at this point of time, stop depositing the money in bank. Because we can see that many banks are already freezing the deposits Account and also they have set a withdrawal limit.


           But keep the expenses very less so that you can survive till the end of the inflation. Our GDP rate is 5% and we rank 5th in world economy.

Following mentioned activities must be done at the end of March 2020, Because inflation will affect comman man at that time. As we can see gold decreasing day by day.
✓ Invest in shares, debentures etc

✓ Invest in government bonds.

✓ Invest in real estate ( but sell them before government tax on them)

✓ Invest in gold's.



Now lastly stop blaming others for recession because it doesn't come by anyone's call. If the economy watches peak then it will definitely watch trough. Both are like two faces of same coin.

         Try to be the last person to hold a stash of cash so that you can dominate the market. 

*USE THIS GOLDEN EGG WISELY.*

IN THE ABOVE BLOG I EXPLAINED ABOUT RECESSION AND HOW TO SURVIVE IT.

recession,recession 2020,recession 2019,great recession,how to survive in a recession,

THANK YOU 😊

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