Illterate unfriendly word: Recession. What does it mean in this context?

a period of significantly reduced economic activity

(This is a standard dictionary definition.)

Recession:

People get scared. They stop buying stuff. So companies cannot sell the products they make. So they have to eliminate jobs. People lose their jobs. Unemployment rises.

Because people are losing their jobs, they don't spend much money. That means that stores are not selling clothes, smartphones, books, shoes, and furniture. The stores cut their hours. They go out of bu

mosja,

The text almost tells you what a recession is:

... world economy ... shrink ... (at its fastest pace)

... it will be (the worst) recession ...

CJ