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Today more than ever, there is a major and constant fear of an impending recession in our government’s economy. A recession is a downturn in the economy when output and employment are falling for at least a period of six months. (Krugman and Wells, 2006) This is due to a number of factors: people buying less, a decrease in factory production, growing unemployment, a slump in personal income, or an unhealthy stock market. (Harris, 2002) These factors including scarcity, choice, and opportunity cost are the reasons that an economy is considered in a recession and how something like this happens.
One main impact on what happens in and to the economy is the factor of choice. The economy cannot work on its own; it needs the consumers to drive it based on their wants. The producers and consumers are the driving force of the economy. This is where resources come into play. Resources are anything that can be used to produce something else such as land, labor, physical capital, and human......

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Approximate Word Count: 1044
Approximate Pages: 5 (250 words per double-spaced page)

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