K-Shaped
A "K-Shaped" recovery refers to an economic trend where different sectors or groups experience divergent paths following a downturn. In this scenario, some industries or demographics recover quickly and thrive, while others continue to struggle or decline. This creates a visual representation resembling the letter "K," with one arm rising and the other falling.
This phenomenon often highlights inequalities within the economy, as wealthier individuals or sectors may benefit from favorable conditions, such as technology or finance, while others, like hospitality or retail, face ongoing challenges. Understanding this pattern helps policymakers address disparities and promote more inclusive growth.