Would someone please explain?

[marylp]

So much to absorb on the news I am so confused. Hey, guys help me understand the "tions" . This is what I think they mean.

Inflations-prices go up
Deflation- prices go down
Stagflation- prices stay the same
Recession- People may have money but nobody wants to spend it
Depression-everyone is broke

There may be another "tion" out there. Is this pretty much right? I guess that everything is alright except for Inflation and Depression. Help me out guys. Mary

[Ken]

How about:

Desperation - Unemployment Benefits run out and you still can't find a job that will support your family.

[crashdive123]

So much to absorb on the news I am so confused. Hey, guys help me understand the "tions" . This is what I think they mean.

Inflations-prices go up
Deflation- prices go down
Stagflation- prices stay the same
Recession- People may have money but nobody wants to spend it
Depression-everyone is broke

There may be another "tion" out there. Is this pretty much right? I guess that everything is alright except for Inflation and Depression. Help me out guys. Mary

Sorta, kinda, but not really. Here are a few explanations with sources that say it better than me.

Here’s a pretty good explanation on inflation and deflation. http://www.mysmp.com/video/bonds/und...deflation.html

Stagflation -

Stagflation occurs when the economy isn't growing but prices are, which is not a good situation for a country to be in. This happened to a great extent during the 1970s, when world oil prices rose dramatically, fueling sharp inflation in developed countries. For these countries, including the U.S., stagnation increased the inflationary effects.

From http://www.investopedia.com/terms/s/stagflation.asp

Recession -

The standard newspaper definition of a recession is a decline in the Gross Domestic Product (GDP) for two or more consecutive quarters.

Depression -

Before the Great Depression of the 1930s any downturn in economic activity was referred to as a depression. The term recession was developed in this period to differentiate periods like the 1930s from smaller economic declines that occurred in 1910 and 1913. This leads to the simple definition of a depression as a recession that lasts longer and has a larger decline in business activity.

http://economics.about.com/cs/busine...epressions.htm

[canid]

don't forget insatiation; when no amount of economic growth can satisfy the need for a bigger SUV or a higher mortgage payment.

[marylp]

Hi Ken, Hope you are not going thru that now.

Crash, Thank you so much, scary stuff all of it.

[crashdive123]

Mary, the important thing is to prepare for what you can. While the current economic situation is not pretty, it is a whole lot more similar to what happend in the 70's than the 30's. We survived both, and will do so again.

[Ken]

Hi Ken, Hope you are not going thru that now.

Crash, Thank you so much, scary stuff all of it.

I'm okay, but thanks for the concern. I'm self-employed and still working.