Corruption is today a world-wide phenomenon.

In our own country some people in high positions lavel been charged for it. A corrupt person is termed immoral, dishonest and unscrupulous in his dealings. His disregard for honesty, righteousness and truth results in his alienation from society. He is treated with contempt. But as erosion of values leads to decadence, remedies for the social malaise remain elusive, and so no amount of contempt can eradicate corruption which is a symptom of decadence. Corruption is the most virulent when crises everywhere threaten the very existence of the society and the faith in life is shaken. It has always been there like tie leech, but when the system grows weaker and the boat flounders, it gets bolder and drains its victims of the last drops of their blood. The older the system the weaker it grows and fails to solve the riddles of life that grows more complex every day. So men lose faith in it and let it drift down. At this point corruption takes over and plunges the entire society. After Second World War the old system with all its values was left in a shambles. The crippling effects of the war, the recession and depression, and uncertainties in a faithless world of maimed and moribund encouraged cynicism in a section of the population. This section included the government officials dealing in essential commodities. They found the post-war conditions ideal for fishing in troubled waters and jetting richer. They formed a sort of vicious circle in which moral values and honest intentions no longer held valid. The flourishing black market in essential commodities, adulteration of even baby- food, bribery, fraud and economic, political and administrative manipulations with an eye on earning profits has brought untold misery to the people. One would say the corruption in India has an ancient lineage; it is sanctified by tradition. The author of the Arthasastra made some remarks on government officials of his time which are relevant even today: "Just as it is impossible not to taste the honey or the poison that finds itself at the tip of the tongue, so it is impossible for a government servant not to eat up at least a bit of the king's revenue. These in the postwar world became only bolder while eating up government money and accepting bribes. Today, when India is free, these officials representing all government departments are very close to the most corrupt businessmen who are too unscrupulous to let any opportunity of amassing profits slip. This collusion broadens the base of the vicious circle and corruption spreads 'like wild fire to engulf the entire society. The political and social guardians depend only too much on the richer communities and they look indulgently on while these communities hold the entire society and the government to ransom. Corruption starts at the top and percolates down to the whole society. Such corruption cannot be confined to the towns alone. It is as widespread in the villages where the dishonest officials and the traders carry the germs of the disease. The tyranny of confusion and price rules the land and the people are helpless victims of corruption everywhere.

Corruption in India The last two decades of the existence of independence, India has seen a steep upward trend in the graph of existing corruption. The media, the public, the variety of forums for discussions and debates for the higher intellingensia are all neck deep buried in highlighting the rampant corruption in every sphere. In this debate the rural folk are also not far behind. These days they are also very well aware of the malpractices in the highest of levels of all places. So much so that now, the average Indian has reached the highest level of disgust and disappointment at the way things are moving in this country. Let us first of all understand what is meant by corruption and corrupt practices. In brief, anything that is below all standard norms of morality in a country, is called or defined as corruption and corrupt practices. These norms are a fixed standard in any given society, and when these are broken we say that, a society is getting corrupted. This corruption as we see it today is not a development that has come overnight, it has been a continuous process for the last several decades and, to day it has seeped into the very blood stream of the system. What we have to study next is, why and how this monster of corruption has taken such a firm hold on India so much so that, the country of the legendary Harischandra, the honest has reached the position of one of the top ten or so of corrupt countries of the world. This is no mean achievement, and has taken a few decades to fructify. It is not that, corruption did not exist earlier, it is not that to day there are no honest people, then why do we all yes, I say all feel that, corruption is rampant everywhere and all the time. This is because of the simple reason that this malady has spread through the entire length and breadth of our social fabric and gone down to the deepest levels. How has this come to be? Would be quite a pertinent question. The corrupt practices have now become our lifestyle to such an extent that, we do not seem to feel that there is anything wrong in what all we are doing., and that things should not be as they are. We, on the contrary are inclined to justify all wrong saying that, without doing wrong we cannot exist or be functional. When we start thinking that corruption is a must, then I feel that the situation has reached a point of no correction. This present apathy shows how far the degradation of our values have reached, and how low the system has dipped. When we start justifying all the wrongs we do, it is the beginning of the end., as, we are not only doing wrong, we are at the same time thinking that it is correct, then where can the scope be for co rrection? It would be rather interesting to note and specify as to how this process of continuous degeneration started, for it is the root that grows into a magnum tree. It is thus of great value to know who put the seed that grew into this poisonous tree. In this connection, it is understand that, this degeneration started from the top echelons of society, and then percolated downwards, without a hurdle. Who is at the top or the apex of our society? It is the set of people who have all the power that is invested in them by, us the people. Now, it is for the goodwill of this top layer of society to give the countrys society the trend it deems fit. Now, this layer at the top has been the politician who rules the country, and to say that the seeds of Indias corruption were sown by this class of our society, which has been at the helm of affairs of the country and today they have brought us t this point of no return as far as corruption is concerned. Where are politicians like Pt. Jawaharlal Nehru, Sardar Patel, and above all, the father of the nation, Mahatma Gandhi? It appears that India has stopped producing men and women of such integrity. Perhapse the breed of such politicians and other men have stopped taking birth. Where is that erstwhile political party, the Indian National Congress, that loyally fought for the freedom of the country, where is the discipline to follow the clarion call of Mahatma Gandhi? All it seems to have been lost, and the same Congress that fought against foreign rule and ousted the foreigners is now all set to install a foreigner as the head of Independent

India. What has all this come to, what can be the implications of a foreigner as the head of the state seem to be lost to this Congress which worked to oust the foreigners what a degradation of values. Have we Indians lost all self respect, that we ourselves invite a foreigner to rule us? I dareasay we have become so immune to all finer feelings that we do not mind doing anything as long as we meet our ends. All this is the ugliest face of the corruption in India. All our ethics, our self respect and love for our motherland is lost somewhere in the last fifty years. Today we are standing at the threshold of a new millennium with, the eerstwhile Indian National Congress and many other parties without a single leader of stature. What does this show that, in the span of more than century, Congress has failed to produce a single leader, leave alone a leader of the stature of Sardar Patel and the like. Today the sets of politicians of all political parties are just money spinning actors just working to establish estates for their seven generations. The vision of a great India in the yes of the freedom fighters has been lost somewhere in our move in the last fifty years. When the oldest political party, the Congress presents such a dismal picture of honesty loyalty and service, what can be said or expected from the other much younger political parties. They are all bound to follow the footsteps of this erstwhile conglomerate of greedy money spinning politicians. Today, all the new political parties are following the path tread by the elder brother, the Congress, resulting in a mushroom growth of political parties all of the set pattern with no goals, no ethics, no ideals and no ideologies. This level being the highest level of our society is seen to have become most corrupt in the last two decades and the public is very well aware of the multi-scam decades of the eighties and nineties. Now, the scenario at the very top, can hardly allow for a space for any ny honesty to persist in any other layer of society. So, from this topmost layer, corruption has percolated to all levels and in all spheres of activities, and all this sure enough because it suits the politician. The politician has encouraged the bureaucrat to be corrupt, and in turn the bureaucrat has enjoyed the protection of the politician, in all his nefarious activities. From the senior bureaucrat the virus of corruption has slowly and steadily seemed down to the lowest levels of functionaries. This has become a totally corrupt and incorrigible institution. The Indian society in all its entirety is corrupt to the core, and now corruption is like a drug, without which the addict finds it difficult to survive. With this slow and steady and continuous spread of the fangs of corruption, today the situation is such that, there is no place or activity which is bereft of the fruits of corruption. Now, corruption has become our way of life and to uproot it is a Herculean task. The tentacles of corruption can be dealt with only with an iron hand, and above all, must start cleaning from the top echelons of society. However, as we have seen umpteen times, this does not happen. Our experience shows that, as soon as a big name is involved in any corruption case, there is a lot of hullabulloo for some time, and it all dies down with the passage of time and the corruption continues unabated. How does this happen? This is very obvious for all those who have to be at the clearing end are bought, so, no damage can ever come to the so called high ups. This is the main reason why there is never any breakthrough in any scam. In this situation it will be a wonder if anything tangible can really be achieved for, the high ups cannot be touched, and the lower formations need not be touched so we remain where we were at the beginning of any case. The scams which have come to light in last one decade have amounted to multi crores, they are being dealt with but, it is so shocking that no politician has yet been punis hed for siphoning off so much of wealth of a poor country, what can be expected in a country when its protectors themselves become criminals. When the senior can not be punished how can there be any cleaning at the bottom. It would not even be fair to punish the lower rungs of the ladder when the higher rungs continue to bask in the sunshine of their riches. The way in

which these cases are being dealt with clearly indicate that no one will be hurt as, all those, yes all those who matter are involved in corruption. So, at present, the situation is of who will bell the cat? Everyone knows who the corrupt are but, the irony of our system is such that no one can be touched. If this situation remains any longer, it is a wonder if there could be any light at the end of the tunnel. India is reaping what it has sown, and the seed of corruption has grown up into a full size magnum tree which perhapse cannot be changed, replaced or cut. It appears thus that for the time being at least, we have to bear with it. Only God can do some magic. Irrespective of the status of the wrong doer everyone, big or small, high or low, must be dealt with an iron hand, and that also at a fast speed. What is the use of just a show of dealings against corruption, while in reality all cases are just quietly shelved banking on the fact that, public memory is very short. All these cases are just a farce into which now, the Indian public an not be very easily fooled. At present there is no remedy for this tragic situation we are in, except pray to God that, HE gives unto us a dictator who is capable enough to deal with this ogre of corruption with a strong hand or else it appears that we are doomed to drown in the deepest depths of corruption and that, we will soon find it impossible to come out of the labarynth knit around us by our own men yes our own men.

NEW DELHI From Facebook to fasting, from a crowd-sourcing Web site to a crowdpulling yoga guru, Indias campaign against corruption has taken many forms and enlisted millions of followers this year. In the process, it has lit a fire under the government and sparked a debate about how to strengthen this countrys democracy. ( Rajanish Kakade / AP ) - Indian social activist Anna Hazare, right, burns a copy of draft legislation for setting up an anti-corruption watchdog, as he leads a rally against corruption in Mumbai, India, Tuesday, Aug. 9, 2011. More on this Story
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Indias corruption scandals spawn citizen protest Indias Singh denies knowledge of bribery scandal Indias Hindu nationalist party hit by bribery scandal More headlines from around the world

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India's prime minister tainted by corruption Indias anti-corruption movement aims to galvanize democracy

People power is bigger than everything, and this movement is bigger than the government and its ministers, said Anna Hazare. This fire will spread. The 70-year-old disciple of Mahatma Gandhi staged a hunger strike in April that brought the movement to life. Hazare, who dresses in homespun white cotton and a traditional white cap, is threatening another fast next week unless the government strengthens a draft bill to combat corruption.

If he is the movements most recognizable face, its messengers are the countrys raucous 24hour television news channels. Its supporters include students and grandmothers, IT professionals and retired civil servants. Ammunition for the campaign is supplied by Indias independent comptroller and auditor general, Vinod Rai, whose hard-hitting reports on corruption have helped land a cabinet minister and several other politicians and business leaders in jail. For its supporters, the movement is a chance to demonstrate the power of Indias sometimes underrated democracy, and to reengage an often-apathetic middle class in the political process. Even more, perhaps, it is a sign that democracy is not Indias Achilles heel in the race to catch up with China, but ultimately its trump card, and that the voices of more than a billion people can amount to a force for change. Even its supporters admit it is not going to be easy to turn anger into lasting results. This is the first step in a painful process of transforming the entire nature of government in India, said independent lawmaker Rajeev Chandrasekhar. The whole political class and the bureaucratic class will resist this. They will see it as a death sentence. The energy required to get any traction is not going to be trivial. A variety of tactics The India Against Corruption movement coalesced late last year in the wake of two massive corruption scandals, one surrounding the staging of the Commonwealth Games in New Delhi and the other stemming from the allocation of cellphone licenses. A Facebook page helped spread the word and enlist organizers across the country. A little of the excitement of the Arab Spring appeared to rub off as protests were staged in 60 towns and cities in January. Online, the movement gets tactical advice from Avaaz, a global advocacy group that also backed a successful campaign against corruption in Brazil. But on the ground, it was the tried and tested Gandhian tactic of fasting that energized the campaign, as the nations television screens were filled with images of the frail Hazare in April. So far, 12 million people have registered their support by ringing a campaign hotline and logging a missed call, while more than 60,000 have sent e-mails to government officials, a response that the movements founder, Arvind Kejriwal, calls overwhelming. Terrorism Terrorism means the policy of striking terror in the minds of the people by violent methods to achieve some ends. It is a law of the jungle to use muscle power and force to get things done. It is a barbarian act. Of late, terrorism has become the order of the day. People who are disgruntled and who are unable to get their desires fulfilled by normal and accepted methods in society are resorting to terrorism. Some othe4r causes for which

terrorism is resorted to may be genuine like a protest from people to come out of bondage or fight for freedom. Even such causes do not support terrorism, when there are other channels and methods to solve the problem. Terrorism has now become an international phenomenon. There are terrorists in developed and advanced countries as well as developing countries like India. We must find out the reasons for emergence of terrorism. There has been exploitation of the weak and the poor for centuries by the rich and the powerful. All representations and appeals of non-violent nature failed to yield any response. Hence the frustrated and the oppressed resort to violence as there is no other alternative. Such protests are also called terrorist activities. There is another type, that is, where one uses force on the weak to gain his ends; sit may be to serve the cause of a religion, a language or to establish a new pattern of government. The communist movements which resort to force, and the armed protests which Netaji subhas Chandra Bose led, in the name of eh Indian National Army (I.N.A) cannot be termed as terrorist activities. Protests like Khalistan Movement carried on earlier in Punjab, the armed protest marches of Assam and the L.T.T.E. Movement of Sri Lanka are not justifiable movements. They could always use other forums of a non-violent nature if they have any grievances to be redressed. The hijacking of the Indian Airlines Plane in December 1999 is also another ugly face of terrorism. The worst type of terrorism was that of Idi Amin of Uganda who let loose terrorism in his country to serve his personal ends. Whether terrorism is justified or not, it has of late become the normal method for achieving ones ends. Terrorism is not confined to any area or activity. It is finding its place in the el ctions e conducted in our country to elect members to legislatures and parliament. Many a time the candidates are found taking the help of terrorists to win their elections, as violence has its own place in and election campaign. As long as violence pays dividends much more easily and is allowed to go unchecked, the animal in man favors its use instead of peaceful methods. Governments all over the world are doing their best to put and end to terrorism. There are a few who encourage and support terrorism in other countries to meet their own political ends. The U.N.O. also is unable to completely eliminate this evil, even though it is able to contain it. But use of violence to check violence is not a permanent solution. The only remedy to this evil appears to be the diagnosis of the root cause for each act of terrorism and if there is a genuine reason behind it, it is better to concede the demand. If terrorism is based on issues which are immoral and not acceptable, the sure and powerful weapon against it appears to be non violent satyagraha introduced by Mahatma Gandhi. The relationship of India and Pakistan can be very widely understood when we see and read about this long drawn out protracted programme of spread of terrorism in India. Terrorism in India has in the last ten years taken its toll in India and with so many years at it, it clearly shows that, Pakistan is in no mood to be friendly. Instead, it appears that, Pakistan is hell bent upon annihilating its parent neighbour. What actually is terrorism - it is the spread of terror, as the name indicates. This terror can be spread by just frightening the other, by looting the other or by killing the other.

As regards the terrorism in India it has reached the last type, one of killing indiscriminately. Since a war against India may prove to be disastrous, for Pakistan, it has taken recourse to this slow but sure poisoning of India, by a continuous war of nerves also including deaths of Indians. All this is being done very methodically with a sure purpose in mind. Terrorists are given full fledged training in army discipline, provided with the most sophisticated weapons after teaching them the use, and given a lot of money for the task. Then they are helped to sneak into the Indian Territory across the border, w specific ith instructions to do as much damage as possible. Once on the Indian side the terrorists are engaged in arson, loot, killings, and terror. The purpose of all this is bold and clear - to spread terror and make people run out of the territory. Once terror is spread, people run for safer places and the target is thus achieved. This holocaust is being tried out in Kashmir with an obvious attempt at annexing Kashmir - for, if all the already minority of the Hindus flee from Kashmir, if ballot is then tested, there is no chance of a vote for India. With the purpose of annexing Kashmir to Pakistan this long drawn out programme of killing and terrorising has been very successfully launched and vigorously followed through the last decade and more. For the last decade and more, the terrorists have crossed the Jammu and Kashmir border and struck terror in the State, so much so that, 80% of the Hindu community has fled the area and settled in other parts of India. Such a tragic situation has been created that, these people are rendered homeless in their own country and outsiders doing it all with such impunity. The situation has lasted for ever so long and defies any solution up to date. The extending of a friendly hand, the coming on to a battlefield, the offer of talks - all this has been tried and proved to be fruitless. The process seems to be unending in Kashmir, and threatens to spread to other parts of the country. Even after an offer of a unilateral ceasefire, conditions have not improved at all. The position as it stands to-day is that, India continues even to extend its ceasefire, while on the other hand Pakistan continues to hit hard at India all the time. This is a mind boggling situation and it is a wonder how a solution can be reached with these opposing attitudes at work, one side offering peace and the other a battering at all costs. How can the two ways of thinking chalk out a feasible solution, is to my mind a very distant future if at all. It appears that, all people who matter on both sides are finding themselves at a loss to find an amicable solution. Terrorists continue to be trained and bred by Pakistan and sent across the border to spread terror, and India continues to suggest peace. It seems that, only God can solve this tricky problem man is failing to entirely. God alone knows how many lives of Indians will have to be sacrificed before we reach an understanding. It is however very clear that, Pakistan means business and the end of the road is not yet anywhere in sight.

This is the situation in India but now terrorists have started spreading their ominous wings in other parts of the world also. It appears that, the entire world will have to work together against this menace of terrorism, before the ogre gets to a destruction spree through the length and breadth of the world. Only if the brains of the world get together it seems that terrorism may be washed out of the scene - no one country can face and end this plan of destruction.

Terrorism In India
Terrorism in India is primarily attributable some religious communities and Naxalite radical movements. The regions with long term terrorist activities today are Jammu and Kashmir, Mumbai, Central India (Naxalism) and Seven Sister States (independence and autonomy movements). In the past, the Punjab insurgency led to militant activities in the Indian state of Punjab as well as the national capital Delhi. As of 2006, at least 232 of the countrys 608 districts were afflicted, at differing intensities, by various insurgent and terrorist movements.[1] In August 2008, National Security Advisor M K Narayanan has said that there are as many as 800 terrorist cells operating in the countryMaharashtra Mumbai has been the most preferred target for most terrorist organizations, primarily the separatist forces from Pakistan. [citation needed]Over the past few years a series of attacks including explosions in local trains in July 2006, to the most recent and unprecedented attacks of 26 November 2008, where two of the prime hotels, a landmark train station and a
Jewish Chabad house, in south Mumbai, were attacked and sieged.[citation needed] Terrorist attacks in Mumbai include: 12 March 1993 - Series of 13 bombs go off killing 257 6 December 2002 - Bomb goes off in a bus in Ghatkopar killing 2 27 January 2003 - Bomb goes off on a bicycle in Vile Parle killing 1 14 March 2003 - Bomb goes off in a train in Mulund killing 10 28 July 2003 - Bomb goes off in a bus in Ghatkopar killing 4 25 August 2003 - Two Bombs go off in cars near the Gateway of India and Zaveri Bazaar killing 50 11 July 2006 - Series of seven bombs go off in trains killing 209 26 November 2008 to 29 November 2008 - Coordinated series of attacks killing at least 172. On 13 February 2010, a bomb explosion at the German Bakery in Pune killed fourteen people, and injured at least 60 more Bihar Existence of certain insurgent groups like the CPI-ML, Peoples war and MCC, is a major concern as they...

Recession
The history of recessions in the United States since the Great Depression show they are a natural, though painful, part of the business cycle. Note: On July 31, 2009 the Bureau of Economic Analysis BEA revised all GDP statistics from 1929. It has revised the most recent three years each year since then. The most recent stats (July 29, 2011) are given below, with the original stats in parentheses.

WASHINGTON: Americans by a large majority believe the United States is on the wrong track and nearly half think the worst is yet to come in the economy, a Reuters/Ipsos poll said on Wednesday.

US President Barack Obama's approval rating dropped to 45 per cent from 49 per cent a month ago, according to the poll conducted from last Thursday to Monday -- a period that included a historic downgrade of America's credit rating, new recession fears and the start of The poll found that 73 per cent of Americans said the United States is on the "wrong track," and just 21 per cent said the country is headed in the right direction. This is the highest figure measured so far since Reuters/Ipsos began polling American public opinion in February 2009. The survey of 1,055 adults found that 47 per cent of respondents said "the worst is yet to come" in the US. economy, an increase of 13 per centage points from a year ago when this question was last raised. This is the highest measure since March 2009, when concern peaked at 57 per cent, at the height of the recession. While Americans believe blame is shared among many in Washington, Republicans appear to be suffering most following the debt-limit deal reached last week after anguished negotiations between Obama and congressional leaders that displayed the deep divide between the two major US. political parties and an inability to compromise. The survey found 42 per cent of Americans held a negative view of the loosely organized conservative Tea Party movement, closely tied to many Republican lawmakers, in the wake of the debt deal. House of Representatives Speaker John Boehner, the top Republican in Congress, was viewed negatively by 37 per cent of respondents in the poll. The survey was performed just after Obama and the US. Congress concluded the deal that averted a government debt default but did not stop the US. credit rating from being downgraded by Standard & Poor's. During the poll period, Americans were also digesting new data showing stubbornly high unemployment and pointing to renewed weakness in the economy, which sent US. stocks into a tailspin. a stock market sell-off.

2008-2009 Recession
The worst recession since the Depression. The economy shrank in five quarters, including four quarters in a row. Two quarters shrank more than 5%, and Q2 2008 shrank a whopping 8.9%, more than any other recession since the Great Depression. The recession ended in Q3 2009, when GDP turned positive, thanks to economic stimulus spending. The recession was also the longest since the Depression, lasting 18 months.

2008
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Q1 -1.8%(-.7%) Q2 1.3% (1.5%) Q3 -3.7% (-2.7%) Q4 -8.9% (-5.4%)

2009
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Q1 -6.7% (-6.4%) Q2 -.7% (-.7%)

The recession was caused by the Subprime Mortgage Crisis, which then led to a global banking credit crisis.

2001 Recession
It lasted eight months (March-November 2001). It was caused by the Y2K scare, which created a boom and subsequent bust in Internet businesses. It was aggravated by the 9/11 attack. The economy contracted in two quarters: Q1 -1.3% (-.5%) and Q3 -1.1% (-1.4%). Unemployment reached 5.7% during the recession, but rose even further to 6% in June 2003. This often happens in recessions, as unemployment is a lagging indicator. Most employers wait until they are sure the economy is back on its feet again before hiring permanent employees.

1990-1991 Recession
This recession was eight months (July 1990 to March 1991). It was caused by the Savings and Loan Crisis in 1989. GDP was -3.5% (-3%) in Q4 1990 and -1.9% (-2%) in Q1 1991.

1980-1982 Recession
This was technically two recessions: the first six months of 1980 and 16 months from July 1981 November 1982. It was partially caused by the Iranian oil embargo, which reduced U.S. oil supplies driving up prices. The Fed raised interest rates to combat inflation, reducing business spending. GDP was negative for six of the 12 quarters. The worst was Q2 1980 at -7.9%(-7.8%), the worst quarterly decline since the Great Depression (until the 2008-2009 recession). In Q1 1982, it was nearly as bad, plummeting 6.4%. Unemployment rose to 10.8% in November 1982, the highest level of unemployment in any recession. It was above 10% for 10 months.

1973-1975 Recession
This recession lasted sixteen months (November 1973-March 1975). OPEC is blamed for quadrupling prices for a few months in 1973. It alone didn't cause such a deep recession. Several factors contributed. First, the U.S. went off of the gold standard and printed more money. This created inflation, as too many dollars chased too few goods. Second, President Nixon instituted wage-price controls. This kept prices too high, reducing demand. Wage controls made salaries too high, which forced businesses to lay off workers. The result was stagflation and three consecutive quarters of negative GDP growth: 1974 Q3 -3.9% (-3.8%), Q4 -1.6% (-1.6%), 1975 Q1 -4.8%(-4.7%). Unemployment reached a peak of 9% in May 1975, two months after the recession technically ended.

1970 Recession
This recession was relatively mild, lasting 11 months. GDP was down for two quarters:Q1 -.7%, Q2 .7%, Q3 3.6%, Q4 -4.2%. Unemployment peaked at 6.1% in December 1970.

1960 Recession
Starting in April 1960, the recession lasted 10 months. GDP was -1.9% (-2%) in Q2 and -5% (-5.1%) in Q4. Unemployment reached a peak of 7.1% in May 1961.

Recession of 1957
It was eight months (August 1957-April 1958). GDP was - 4.2% in Q4 1957 then immediately plummeted 10.4% in Q1 1958. Unemployment didn't reach its peak of 7.1% until September 1958. It was caused by a contractionary monetary policy.

Recession of 1953
Beginning July 1953, this recession lasted 10 months, a result of the end of the Korean War. Unemployment didn't reach its peak of 6.1% until September 1954, two months after the recession ended. GDP was down 6.2% in Q4 of 1953.

1949 Recession
This 11 month recession began in November 1948 and lasted until October 1949, when unemployment reached a peak of 7.9%. GDP fell .5% for the year. This was another natural down cycle, caused by the economy adjusting to peace-time production.

1945 Recession
This recession lasted only eight months, between February and October 1945. However, it was nasty, with GDP plummeting 11% in 1946. This was a natural result of the demobilization from WWII, as the huge demand for military weapons were no longer needed. (Source: NBER, Business Cycle Expansions and Contractions)

United States Recession History The next recession confirmed occurred in the years between 1807 and 1814, and was called the Depression of 1807. This depression was primarily caused by the Embargo Act of 1807, signed into effect by then President Thomas Jefferson. This act destroyed a good part of the shipping related industries, and it was fought hard by the Federalists, who allowed smuggling to take effect in New England as a result of the Act. The Panic of 1819 soon followed. This was considered the first major financial crisis to unveil itself before the relatively new U.S. economy. This panic brought with it widespread foreclosures, failing banks, huge unemployment rates, and a gigantic slump in manufacturing and agriculture that caused havoc among Americans. This recession also marked the en of d great economic expansion that had taken place following the War of 1812.

Economic recessions in America continued with the Panic of 1837. This recession can really be attributed to failing banks, and to the lack of confidence people had in paper currency, which was becoming popular at the time. Banks stopped paying out in gold and silver, which really took its toll on American confidence. The Panic of 1857 followed not long after. With the failure of the Ohio Life Insurance and Trust Company (which at the time was one of the biggest in the United States) came the explosion of a European confidence bubble in the U.S. This greatly affected the railroads and U.S. banks, causing over 5,000 businesses in America to fail in the first year of the panic alone. Unemployment rose, and protest meetings became popular. Recessions continued to plague not only America, but the rest of the world as well. Considered part of the natural cycle of the modern economic system, no one can really escape recession in the long run. Countries like Germany, the U.K., China, and Japan have all had trouble with recessions. In fact, economists say that Germany is in for what might be the biggest recession in all of German history not too far down the road. Japanese economic recession has also played a huge part in their history. Japanese recession, just like economic recessions in America, can be linked to the dreadful cycle of imbalanced inflation, money supply, and interest rates that keep things in balance, rolling, and functioning properly. In the year 2001, the early 2000s recession hit America. The collapse of the dot.com bubble was truly the cause of these recessions, as well as the attacks that occurred on September 11th on the World Trade Center Towers in New York City. Accounting scandals also ran rampant, contributing to the overall downward financial spiral that America faced. Everyone remembers the attacks on Americas soil, and nobody will forget how, despite economic trouble, the attacks brought Americans together, more united than ever. And with that kind of perseverance, America was led out of that struggle to a new future of prosperity. And lastly, America has been hit by what has been called the Late 2000s recession. The collapse of the housing market really set this one off on a bad note, and it, coupled with bank collapses in the U.S. and Europe, have caused consumer confidence and credit availability to plummet to new lows. Hopefully, things will turn around. But for now, the modern economic cycle again comes around to purge itself of the problems put on it by humanity, and unfortunately, that purge is known to us as recession.

Mutual funds

Mutual funds are not inherently great investments. Many of them fail to deliver results even on par with popular stock indices, and their tax headaches may be too much to handle for many investors. Many pundits have even argued that investors should shun mutual funds altogether and set up their own portfolios of stocks and bonds rather than making the fund companies rich. I am not sure if I would go that far. People continue to pour billions of dollars every year into mutual funds and many of them do it through their retirement accounts. Indeed, funds offer a great vehicle to build a nest egg for retirement for the following three reasons:
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Diversification - One area you don't want to take risks with is your retirement savings. Mutual funds offer an excellent opportunity to diversify your retirement investments, which protects you against risk. Professional Management - With mutual funds you can leave the management of your money to the professionals rather than doing it yourself. Who has time to manage a portfolio these days? But this still doesn't excuse you from taking some time to research the funds you may want to invest in. No Taxes - That is, no taxes until later. If you buy your funds through a retirement account, you don't have to worry about taxes on distributions. Once you begin withdrawing money from your account when you reach a certain age (generally 59 1/2), you would be liable for ordinary income tax.