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What a K-shaped recovery means, and how it highlights a nation’s economic inequalities

unemployment k shaped recovery

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During a recession, the talk of economic recovery in shapes named after letters is one way for economists to forecast the financial future.

When you hear these shapes — U, V, and W, for example — analysts are talking about how the recovery period may look if plotted onto a graph that tracks the overall state of the economy. For decades, these letter-shape descriptors have been used to explain different kinds of recoveries, but recently, a new symbol has entered the lexicon: the K-shaped recovery. 

When compared to other recovery shapes, the K-shaped recovery details ⇒

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