BROWSE

U-Shaped Recovery

What is 'U-Shaped Recovery'

A type of economic recession and recovery that resembles a "U" shape in charting. Specifically, a U-shaped recovery represents the shape of the chart of certain economic measures, such as employment, GDP and industrial output. A U-shaped recovery involves a gradual decline in these metrics followed by a gradual rise back to its previous peak. Compared to a V-shaped recovery, the U-shaped recovery takes longer to reach levels seen prior to the start of the recession.

Explaining 'U-Shaped Recovery'

There are countless other shapes a recession and recovery chart could take, including V-shaped, W-shaped, L-shaped and J-shaped. Each shape represents the general shape of the chart of the economic metrics that gauge the health of the economy.


Further Reading


On economic theory and recovery of the financial crisis
onlinelibrary.wiley.com [PDF]
… It also explains why it takes a much longer time to recover to a long‐term equilibrium than to … The US and the eurozone are similar to the UK and will endure a U‐shaped recovery … The same economic theory can explain why economic recovery from a global crisis is prolonging …

Political influences on the costs of banking crises in emerging market economies: testing the U-shaped veto player hypothesisPolitical influences on the costs of banking crises in emerging market economies: testing the U-shaped veto player hypothesis
www.tandfonline.com [PDF]
… It also explains why it takes a much longer time to recover to a long‐term equilibrium than to … The US and the eurozone are similar to the UK and will endure a U‐shaped recovery … The same economic theory can explain why economic recovery from a global crisis is prolonging …

Output recovery after financial crises: An empirical studyOutput recovery after financial crises: An empirical study
www.tandfonline.com [PDF]
… It also explains why it takes a much longer time to recover to a long‐term equilibrium than to … The US and the eurozone are similar to the UK and will endure a U‐shaped recovery … The same economic theory can explain why economic recovery from a global crisis is prolonging …

FDI, economic decline and recovery: Lessons from the Asian financial crisisFDI, economic decline and recovery: Lessons from the Asian financial crisis
www.emerald.com [PDF]
… It also explains why it takes a much longer time to recover to a long‐term equilibrium than to … The US and the eurozone are similar to the UK and will endure a U‐shaped recovery … The same economic theory can explain why economic recovery from a global crisis is prolonging …

China's tourism in a global financial crisis: a computable general equilibrium approachChina's tourism in a global financial crisis: a computable general equilibrium approach
www.tandfonline.com [PDF]
… It also explains why it takes a much longer time to recover to a long‐term equilibrium than to … The US and the eurozone are similar to the UK and will endure a U‐shaped recovery … The same economic theory can explain why economic recovery from a global crisis is prolonging …

The nexus between tax reformation, financial development and economic recovery: The case of MalaysiaThe nexus between tax reformation, financial development and economic recovery: The case of Malaysia
journals.vgtu.lt [PDF]
… It also explains why it takes a much longer time to recover to a long‐term equilibrium than to … The US and the eurozone are similar to the UK and will endure a U‐shaped recovery … The same economic theory can explain why economic recovery from a global crisis is prolonging …

Firm Financing in India: Recent Trends and PatternsFirm Financing in India: Recent Trends and Patterns
ideas.repec.org [PDF]
… It also explains why it takes a much longer time to recover to a long‐term equilibrium than to … The US and the eurozone are similar to the UK and will endure a U‐shaped recovery … The same economic theory can explain why economic recovery from a global crisis is prolonging …



Q&A About U-Shaped Recovery


What other shapes can be found on an economy's recession and recovery chart?

There are countless other shapes including V-, W-, L-, and J-. Each represents the general shape of the chart for economic metrics that gauge health of the economy.

What is a U-shaped recovery?

A U-shaped recovery is a type of economic recession and recovery that resembles a "U" shape in charting. Specifically, it represents the shape of the chart of certain economic measures such as employment, GDP and industrial output.

What are some examples of U-shaped recoveries?

The Great Depression in the 1930s was an example of a U-shaped recovery.

How long does it take for a U-shaped recovery to reach its previous peak?

It takes longer than V-shaped recoveries.