The Money Farm Team

How Is GDP Calculted?

Gross domestic product (GDP) equals private consumption + gross private investment + government investment + government spending + (exports Minus imports). GDP is usually computed using international standards by the country’s official statistical agency. GDP is calculated in the United States by the Bureau of Economic Analysis, which is part of the Commerce Department. The

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Is Inflation Procyclical Or Countercyclical?

The Gross Domestic Product (GDP) is a procyclical and coincident economic indicator that is used to assess economic activity. Inflation is measured using the Implicit Price Deflator. Inflation is procyclical, rising during periods of economic strength and falling during periods of economic weakness. Inflation rates are also coincident indicators. Consumer expenditure and consumption are both

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