Why Should Policymakers Care About GDP?

GDP allows policymakers and central banks to determine whether the economy is contracting or increasing and take appropriate action as soon as possible. It also enables policymakers, economists, and businesses to assess the influence of factors such as monetary and fiscal policy, economic shocks, and tax and expenditure plans. The expenditure, income, or value-added approaches […]

Why Should Policymakers Care About GDP? Read More »

How Does Education Affect GDP In The United States?

Knowledge and skills of workers in the labor supply are important determinants of company and economic growth. Workers in industries that demand more education and training tend to earn more money. The disparity in training levels between developed and developing countries is a key influence. Because skilled workers can do jobs more efficiently, an economy’s

How Does Education Affect GDP In The United States? Read More »

Does Lowering Interest Rates Increase Inflation?

So, how do interest rates effect inflation’s growth and fall? Lower interest rates, as previously said, provide consumers additional borrowing capacity. When customers spend more, the economy expands, resulting in inflation. If the Fed determines that the economy is growing too quickly and that demand is outstripping supply, it might raise interest rates, restricting the

Does Lowering Interest Rates Increase Inflation? Read More »