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How the AD/AS model incorporates growth, unemployment, and inflationKey points The aggregate demand/aggregate supply, or AD/AS, model is one of the fundamental tools in economics because it provides an overall framework for bringing economic factors together in one diagram. We can examine long-run economic growth using the AD/AS model, but the factors that determine the speed of this long-term economic growth rate do not appear directly in...0 Σχόλια 0 Μοιράστηκε 15χλμ. Views 0 Προεπισκόπηση
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Tracking inflationKey points Price level is measured by constructing a hypothetical basket of goods and services—meant to represent a typical set of consumer purchases—and calculating how the total cost of buying that basket of goods increases over time. The rate of inflation is measured as the percentage change between price levels over time....0 Σχόλια 0 Μοιράστηκε 15χλμ. Views 0 Προεπισκόπηση
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What Are the Two Main Branches of Economics?What Are the Two Main Branches of Economics?Microeconomics and Macroeconomics Economics is a social science that studies how individuals, businesses, governments, and societies make choices about using limited resources to satisfy unlimited wants. Because human needs are endless while resources such as time, money, labor, and raw materials are scarce, societies must decide what to produce, how...0 Σχόλια 0 Μοιράστηκε 2χλμ. Views 0 Προεπισκόπηση
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What is Macroeconomics? GDP, Inflation, and National PoliciesWhat is Macroeconomics? GDP, Inflation, and National Policies Macroeconomics is a branch of economics that studies the behavior, structure, and performance of an economy as a whole. Unlike microeconomics, which focuses on individual markets and consumer behavior, macroeconomics looks at the big picture—national economies, global trends, and how government policies influence overall...0 Σχόλια 0 Μοιράστηκε 2χλμ. Views 0 Προεπισκόπηση
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What Is the Difference Between Microeconomics and Macroeconomics?What Is the Difference Between Microeconomics and Macroeconomics? Economics is the study of how people and societies use limited resources to satisfy unlimited wants. To make this broad subject easier to understand, economists divide it into two main branches: microeconomics and macroeconomics. While they are closely related, they focus on different levels of economic activity and answer...0 Σχόλια 0 Μοιράστηκε 292 Views 0 Προεπισκόπηση