Economics

How Does A Recession Affect The Stock Market?

During a recession, stock prices frequently fall. In theory, this is bad news for a current portfolio, but leaving investments alone means not selling to lock in recession-related losses. Furthermore, decreased stock prices provide a great opportunity to invest for a reasonable price (relatively speaking). As a result, investing during a downturn can be a […]

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What Is The Relationship Between Real GDP And Unemployment?

Employment will rise as long as growth in real gross domestic product (GDP) outpaces growth in labor productivity. The unemployment rate will fall if employment growth outpaces labor force growth. What is the connection between GDP and the unemployment rate? Okun’s law examines the statistical relationship between unemployment and economic growth rates in a country. […]

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What Is A High GDP?

GDP is a metric that measures the total worth of all goods and services produced over a given period of time. Things like your new washing machine or the milk you buy are examples of goods. Your hairdresser’s haircut or your plumber’s repairs are examples of services. However, GDP is solely concerned with final goods […]

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