An economic crisis is like a muscle cramp - it comes and goes. It does so quicker or faster, depending on how quick the reaction is.
A recession however is worse, it can last a year or two.
The worst thing however, is the economic depression, which some define as "a phase of the economic cycle which follows the crisis and precedes the economic revival".
Which, even though it inexcusably simplifies the process, can allow one to understand that the depression represents the most severe contraction of the economy.
In a study supported by the official numbers, economics doctor Daniel Ionescu says that we are not in a crisis, nor in a recession, but rather in an economic depression.
When asked how long the latter tends to last, Daniel Ionescu estimated that Romania"s economic depression could last seven to ten years, depending on the measures taken to counteract it.
We hereinafter publish the study drawn up by Daniel Ionescu - a comprehensive material, padded with statistics and numbers, highly conceptualized, a text which is usually intended for economics and finance experts.
The study includes four sections which operate together, but can also be read separately, as four independent articles:
* 1."Huge sacrifices, insufficient benefits"
This article mathematically proves, that cutting 25% off wages and 15% off unemployment aids and pensions will lead to only 0.9 billion Euros in savings.
On a slightly sarcastic tone, in an attempt to highlight the absurdity of the aforementioned measures, the author calculated that in order to balance the budget, the government should have cut 45% off pensions and unemployment aids and 75% off the wages of public sector workers.
* 2. "The manipulation of the budget deficit"
In his article, Daniel Ionescu includes the columns of numbers that led to the discrepancy th
