RECESSION AND PLACEMENT

What is Recession ?

Recession means a temporary decline in the economic prosperity or economy. It is basically a fall of economy and decline in the economic condition for a small period of time . Our world is currently living in the verge of a great economic downfall or we can even consider it as a crises . It has basically effected nearly all the sectors of economy , but majorly it has effected Banking sector .

Reason for recession

..It wasn't just a day mistake which has just put us in front of this huge problem .. Few years ago US economy was increasing at a very faster rate and there was huge boom in real state and housing sector. Since rate was really high it was difficult for a common person to buy an asset for him . So, US lending institutions and mortgage firms came with a new solution of giving loans to non- potential buyers to purchase these asset with a interest rate double than what usually being taken from a potential buyer .So, gradually a huge money got involved in this business as the profit was huge . Finally non - potential buyers were unable to pay the bills and they became the lost entity of the lending institution , they recovered the asset but no one was buying them and finally situation of bankruptcy prevailed in these organization . As these institution is basic structure for nearly all the sectors a state of recession developed in whole US and Europe and gradually reached to Asian countries .

Effect of Recession on Placement in Indian Engineering colleges

Now if we think about the placement scenario of Indian Engineering colleges we should look at recession according to India's prospective . Since very few Indian banks or organization were involved in this type of practice so in this prospective , recession does not have much effect on Indian economy . But since Indian IT sector is partially being flourished by US economy and lending institution , we can't neglect it's devastating effect on Indian IT sector .
The effect is clear as top hiring IT companies has clearly stated that they will go slow on campus hiring. Most likely every college would see a decline in there placement this year. IIT's has already hit the blow and IIT Pawai has recorded only 53 % Placement this year , but yeah the fact is that actually many people opted for higher studies rather than doing a job during recession.So , Conclusion is this that even people would be getting placed during campus placement there will be a huge decline qualitatively as well as quantitatively . People should try some new options or new tactics which they have presently in this tough time . People can either go for Higher studies like MBA , MS form foreign studies , but the scholarship amount has also been reduced since the time of recession in US based Universities . People can go for their own start-ups or anything like this . But the fact is that if you get a job now, even it is below your standard , don't loose it , because as recession is a temporary condition you would be much better than the people who are not opting for job , after this temporary time get over if you would be continuing the job till that time . According to the news since Indian government and even US government is trying to raise the conditions of the financial institutions or organization, this time won't last for much . I am hoping that this time soon get over so that we can again see the flourishing economic time and better placement.