We will be focusing on how the performance of the economy is measured. We will examine the national income accounting system, which measures the level of economic activity that has taken place. We will study such measures as the gross domestic product (GDP), production, and other “macro” factors, in terms of their meaning as well as their implications for policy makers. We will also study the ups and downs of economic growth, which are also called the business cycle. We will learn about the factors that cause the economy to expand and at other times contract, as well as how these expansions and recessions are measured. We will also discuss what is meant by unemployment, in addition to the types of unemployment. Inflation will also be a topic that we will examine, especially in terms of its implication in the business cycle.
Your Learning Objectives for the Week:
Describe and discuss how government spending affects the national economy.
Recognize and discuss the causes of problems such as inflation and unemployment.