Part 5/10:
It’s crucial to recognize that the stock market does not behave uniformly in response to economic recessions. Historical data reveals that the stock market can still experience periods of growth, even during economic downturns. For instance, despite an average economic contraction of about 3%, stocks can gain approximately 10% during certain downturns. Analyzing past patterns shows that while fear often drives stock prices down initially, savvy investing during these tough times can yield significant long-term gains.