AS.180.101 Lecture Notes - Lecture 1: Investment Goods, Patient Protection And Affordable Care Act, Business Cycle
Document Summary
Output and input measurement: gdp as a key barometer. Us economic data, though this is not necessarily where we should be focusing. Friday of this week non-foreign payment employment report is released. Gives us a first guess of what happened in the us, in terms of jobs, in the month of august. This document is released the first friday of every month. Highly suspicious, though data show growth all chinese companies report losses. In the long run, growth is the rule we always want it. But every 5-10 years a bout of depression, recession in economy. Business cycle: short-run movement in key macro variables, measurement: quarterly or annually. Levels of income: personal income, income per capita, corporate profits, earnings per share. Levels and growth: real gdp, unemployment rate, inflation rate. Interest rates and stock markets: government"s set interest rate has extreme effect over this. In a democracy, an informed public is necessary for success.