Recession

From a top economist, the real explanation for why recessions start, how long they last, and how to avoid them in the first place.

What causes a recession? Do recessions end on their own, or do they require external intervention? Does a recession in one country mean the rest of the world will follow? Are we in a recession now? Economic expert Tyler Goodspeed answers these questions and many more in Recession, a groundbreaking new analysis of economic contractions over the last four centuries. Combining the historian’s extensive primary source material and the economist’s arsenal of statistical analysis, this book rewrites what we know about recessions.

Contrary to popular perception, recessions are not the inevitable bust that follows an unsustainable boom, and they do not operate like wildfires that clear out economic deadwood. Recessions are caused by adverse shocks like war and energy price spikes, and far from unleashing gales of creative destruction, post-recession economic growth typically resumes the same trend as before—all pain, no gain.

While recessions have become less frequent over time, decisions made by businesses and governments can prolong recessions, and Goodspeed offers guidance to avoid making recessions worse. Issuing an important corrective to economic thinking, Recession is essential reading for high-level policymakers and armchair economists alike.

• “It is rare that a work of economic history is truly revolutionary. Goodspeed’s Recession is such a book. For generations, economists and policymakers have thought of recessions as cyclical ‘busts’ that invariably follow unsustainable ‘booms.’ Goodspeed echoes former Fed Chair Ben Bernanke: Economic expansions don't die of natural causes. They are murdered. But, like the murder on the Orient Express, there is usually more than one killer. This extraordinary tour de force confirms Goodspeed as one of the most brilliant economic minds of his generation. No economic downturn—including the Great Depression itself—will ever look quite the same again.” 
  Niall Ferguson, Milbank Family Senior Fellow, the Hoover Institution, and author of The Ascent of Money
• “A deeply researched, engaging, and insightful look at the history of recessions in the US and UK. Suitable for researchers, students, and business economics enthusiasts alike.” 
  Kenneth Rogoff, author of Our Dollar, Your Problem