When confronted with a debt crisis in the eurozone, European leaders repeatedly kicked the can down the road. The result was an unnecessarily deep and protracted recession.

Following the last deep American recession, in 1981 1982, when the unemployment rate peaked at a higher level than in the recent recession, Democrats blasted President Ronald Reagan for deficits of 6 of GDP. Republicans now berate President Barack Obama for deficits of 10 of GDP.

It's like a recession. So, there's a recession.

If the US tips from mild recession into deep recession, the global deflationary implications will cancel out some of the inflationary pressures the world is facing. Global commodity prices will collapse, and prices for many goods and services will stop rising so quickly as unemployment and excess capacity grow.

Imagining Recession

Recession Geopolitics

Recession Insurance

The United States economy is gradually reviving, albeit slowly by the standards of recovery from a deep recession. China, Brazil, and India have not decoupled from their customers in Europe and North America, and so are slowing, though a relatively soft landing is likely if Europe s recession is as short and mild as predicted.

This is the worst US and global recession in 60 years. If the US recession were as most likely to be over at the end of the year, as is likely, it will have been three times as long and about fives times as deep in term of the cumulative decline in output as the previous two.

Now, the recession.

America s Political Recession

Three days later, the ruble was devalued, and Russian financial markets went into a tailspin. With capital pouring out of the country, the Russian government was forced to restructure its debt, and the economy entered a deep recession.

Just a year ago, former Prime Minister Yoshihiko Noda attempted, despite a deep recession, to raise the consumption tax without monetary easing a strategy that could have brought only continued economic stagnation. Abe must not make the same mistake.

You feel deep, deep guilt.

Avoiding a New American Recession

What also needs to be jettisoned from the ECB s communications policy is its obsession with the short run. With the United States now in recession (and the possibility of a deep recession not that remote), it is striking how positive ECB officials sound about the European economy Europe s economic fundamentals are sound, the economy is robust, economic performance is just below potential, and so on.

(iv) Studying the Dead Sea recession

Policy makers should closely monitor potential changes in the economic conditions in the G 7. A deep recession in the United States resulting from the sub prime crisis would significantly lower Chinese exports and cut the prices of oil and other primary commodities.

More than 90 of House Republicans have signed a no tax pledge. Other members champion the cause of a much smaller government and welcome the deep spending cuts that are scheduled to take effect in 2013, even if they trigger a recession.

Every extra percentage point of unemployment lasting for two years costs 400 billion. A recession twice as deep as the one we have had would have cost the US roughly 2 trillion and cost the world as a whole four times as much.

The Perfect Storm of a Global Recession

The kind of relationships when deep speaks to deep.

The third interpretation for slow growth during these three years is that the depressed investment and long term unemployment caused by the deep recession of 2008 2009 had taken a toll on the capital stock and the size and skills of the labor force.

Others, including me, argued that, given the excesses of private sector leverage (in households, financial institutions, and corporate firms), this would be a U shaped recession long and deep. It would last about 24 months, and the world would not decouple from the US contraction.

The resulting recession might fuel further pessimism and cutbacks in spending, deepening the downturn. A US in recession would no longer serve as the world s importer of last resort, which might send the rest of the world into recession as well.

Deep.

Today, 20 months into the US recession a recession that became global in the summer of 2008 with a massive re coupling the V shaped decoupling view is out the window. This is the worst US and global recession in 60 years.

CAMBRIDGE Capitalism is in the throes of its most severe crisis in many decades. A combination of deep recession, global economic dislocations, and effective nationalization of large swathes of the financial sector in the world s advanced economies has deeply unsettled the balance between markets and states.

Members of the eurozone, however, lacked such an option. European Central Bank President Mario Draghi was eventually able to pursue policies aimed at devaluing the common currency, but not before years of painful austerity, deep recession, social strife, and political instability in many eurozone member countries.

One extreme is the simplistic Keynesian remedy that assumes that government deficits don t matter when the economy is in deep recession indeed, the bigger the better. At the opposite extreme are the debt ceiling absolutists who want governments to start balancing their budgets tomorrow (if not yesterday).

CAMBRIDGE Capitalism is in the throes of its most severe crisis in many decades. A combination of deep recession, global economic dislocations, and effective nationalization of large swathes of the financial sector in the world s advanced economies has deeply unsettled the balance between markets and states.

While the Great Recession has exacerbated these trends, they were apparent long before its onset. Indeed, I (and others) have argued that growing inequality is one of the reasons for the economic slowdown, and is partly a consequence of the global economy s deep, ongoing structural changes.

While the US economy falls into a deep recession, the economies of large Asian countries like China and India will continue to grow at an annual rate of 7 to 9 . They will remain an important source of import demand, especially for high technology and industrial goods.

Most large US banks Citi is an exception passed US Federal Reserve stress tests recently, with enough capital to withstand a hypothetical deep recession (13 unemployment, a 21 further fall in home prices, and a 50 stock market decline). Europe s stress tests have been much weaker.

Deep Decarbonization

Deep green.

Deep green.

Extreme protectionism in the early 1930s, following an era of relatively free international trade, had devastating consequences, ultimately setting the stage for World War II. As the MIT economist Charles Kindleberger showed, America s Smoot Hawley Tariff, in particular, helped to turn a deep recession into a global depression.

Expresses deep concern

Deep borehole drilling

NEW YORK A consensus now exists that America s recession  already a year old is likely to be long and deep, and that almost all countries will be affected. I always thought that the notion that what happened in America would be decoupled from the rest of the world was a myth.

Likewise, Europe is on life support, thanks to European Central Bank President Mario Draghi s astute maneuvering and promises of unlimited intervention in sovereign debt markets. But unemployment is at its highest in decades and growth has essentially stalled, even in Germany, while the troubled southern economies are mired in deep recession.

NEW YORK A consensus now exists that America s recession already a year old is likely to be long and deep, and that almost all countries will be affected. I always thought that the notion that what happened in America would be decoupled from the rest of the world was a myth.

And four, a global recession that has fundamentally shocked consumer behaviors.

Well, organized crime has already adapted very well to the recession.