Final answer:
A recession is defined as a period where real domestic output declines, indicated by a decrease in Real GDP for six consecutive months, usually leading to higher unemployment and lower inflation.
Step-by-step explanation:
A recession is defined as a period in which real domestic output falls. Specifically, this means that the Real GDP (production) decreases for six consecutive months, signifying a downturn in the economy. During a recession, there is commonly a rise in unemployment rates, and the total demand for goods and services declines, often leading to lower levels of inflation and sometimes even deflation. An extended recession is known as a depression. While cost-push and demand-pull inflation can be factors in an economic cycle, they do not define a recession; rather, it's the decrease in real output and the subsequent economic consequences that characterize these periods.