One can choose from a U-shaped recovery, an L-shaped recovery, and a V-shaped recovery. It can also be a double dip recession, a W, or the most recent a combo of L, U, and V. WPP chief Martin Sorrell believes it is going to be those three, in 3 different regions of course.
Sir Martin Sorrell, the chief executive of advertising giant WPP, today backed the theory that the world economy is about to experience a LUV-shaped recovery. This consists of an L-shaped recovery for western Europe, a U-shaped one for North America and a V-shaped one for Brazil, Russia, India, China and the “next 11” emerging economies.
The LUV theory appears to have first been coined by Stella Dawson of Thomson Reuters. Sorrell himself has a habit of contributing to the economic lexicon – the advertising magnate is responsible for the concept of both the bathtub and the italic L. Other unusual metaphors that have popped up to describe different ways in which countries can emerge from an economic slump including saxophone and inverted square root.
In hindsight, it kinda does make sense. Why apply the same letter to all regions with different economic policies and dissimilar depth of economic problems?