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Recession
Recession
Recession
In this session we are going to saw even deeper analyzing, how we tackle the critical situation
caused by this Recession, and which areas it will affect more.
If a Problem Occurred any where in the world, Due to this Globalization, It Impacts all over the
world.All of the above Gadgets are from different Companies in various Countries. If we use a
Particular product owned by a particular company in this Situation.Most of us Predict that, this
Recession will not affect more in India, but it will affect EU and U.S seriously. Important thing is
Don't think to buy a product using our Saving amount in this year.
Savings is going to play important Role in this Recession Period.
Example of Recession:
There is a small village, in that a shop lot of products is for sale for Consumers.Government also
announced Low Interest Rate, i.e., reducing the Repo Rate. Due to this everyone got loan @
lower interest rate (Consumers, Shop Keepers), because of the liquidity of money, they willing
to buy things. In the above cycle, the supply market got little down, and sales got heavy
movement. So, after some period due to supply reduction, the price of products moving higher
Between this shop keepers also getting loan from Government in Low Interest Rate to Expand
their business quantity & recruited more staffs
Money mobilization is high in Public, so all the business got expanded.All of a sudden,
Government had a Physical Deficit due to Low Interest Money lending, Non-Closure of a Loan &
Expenditures of Government.schemes in Covid Situation, War Time Budgets, Income for the
Government will Reduce Further.So, Government planning to increase the interest rate,
Consumers got conscious in spending money to Basic things only, & reduce unnecessary.
Now in the market, price of many products got reduced as there is Surplus reduction of
consumers to buy things.
So, Companies thinking to Lay offs its staffs due to recession.It's understood that if a
government announces low interest rate, we keep in mind that from that period after 3 years,
the chances of Recession will occur.
Now the world is in the Edge of Recession, as many FinTech concerns like PayPal, Amazon,
Flipkart & Many Social Media Companies. So, Companies thinking to Lay offs its staffs due to
recession.they are reduce or Lay Offs its Employees is due to this Inflation only.as per its
statement the Global growth rate is 6% in 2021 and
cases surge reduced to 3.2% in 2022 and 2.7% in 2023.From this we came to know, if the
growth rate Rapidly reduce for 3 years, we need to know we are in
Recession period predicted by IMF.
Basic point for this Recession is Food & Fertilizer, Water & Medicine, It's price will multiple 4 to
5 times more.Food & Fertilizer is playing important role in this war period of
Russia Ukraine.Russia is world's largest exporter of wheat holding 18% of the total export, and
other one Ukraine having 7% share in this export.Due to this war, it's stopped and wheat-based
products price increased all over.This affect mostly in EU & American countries, most of the
above 25% wheat exports is mainly enjoyed by these above nations.So, the remaining 75%
export of wheat is getting more demand, and it affects the supply chain, The price also
increases all over.Russia accounts for 23% export of Palladium, 22% of Nickel, 14% of Fertilizer,
18% of Coal, 14% of Platinum, 11% of Crude Oil accounts for 23% of & 10% Refined
Aluminum.Ukraine holds 40% export of world's seed oils used for cooking, 13% of Corn, 50%
Neon Gas used for Chipmaking.When this news heard by Indonesia, it announces to tighter the
export of Palm Oil from Jan.Same thing Malaysian Government also reduced this Palm Oil
use.We came to know from this, if a Particular Price Increase or Reduction will Occur in
Particular Nation, it not only affects that.Now a days in this winter session UK & EU struggle to
live their day today activities due to this Energy Crisis because of high Price.before they bought
this @ 1000 means now it will 4 to 5 times more came to 5000.For example, we say, if an
ordinary European hold 5000 rupees means, same time U.S citizen hold only 500 only.That's the
level of people living there, we think that America is very Richest country and people living are
doing well, But it's wrong.Russian Ukraine exports 90% of products in the Black Sea region only,
due to this war, movement got stuck and it affects globally the supply chain market.