What Is the Difference between a Recession and a Depression?

Answer

Recession is a term mostly used in business to mean the general slowdown in economic activity over a period of time whereas Depression is a sustained, long-term downturn in economic activity in one or more economies. Recession normally affects the GDP of a country and it's mostly considered less severe than depression and if it continues for a long time it becomes a depression.
3 Additional Answers
A recession is a period of reduced economic activity, while a depression is a sustained, long downturn in one or more economies, more severe than a recession.
The main difference between a recession and a depression is that a recession is less severe. A depression is usually defined as where the GDP reduces by more than 10% whereas in a recession, there is a decrease in the GDP but it is less than 10%. However, in both cases, the standards of living generally become low in countries experiencing depression or recession.
Recession is the decrease in business turnover or reduction in the economic activities in a given business while depression is the reduction in economic turnover in a country. Depression is thus more widespread than recession.
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