Is it possible that the economy will never adjust to a gap


Problem 1: If a recessionary gap were to appear like during the pandemic, how might the economy adjust? Can/should we rely on it to adjust itself? Is it possible that the economy will never adjust to a gap, and things will just get worse and worse?

Problem 2: How and why can the decision of U.S. citizens to save money cause economic problems for the economy? So, if the economy is in a recession, who is at fault: business for their savings, or households for their savings, or government?

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Microeconomics: Is it possible that the economy will never adjust to a gap
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