Question

What role do measures like GDP, unemployment, and inflation play in different scenarios? At least 300 words

Answer 1

GDP- GDP or Gross Domestic Product represents the total output product of an economy. GDP is the standard measure of the value added created through the production of goods and services in a country during a certain period (usually an year). GDP represents the total monetary value of all final goods and services produced (and sold on the market) within a country during an year.

Inflation- Inflation is a quantitative measure of the rate at which the average price level of a basket of selected goods and services in an economy increases over some period of time. It is the rise in the general level of prices where a unit of currency effectively buys less than it did in prior periods.

Unemployment- Unemployment, according to the OECD, if persons above a specified age not being in paid employment or self-employment but currently available for work during the reference period. Unemployment is measured by the unemployment rate, which is the number of people who are unemployed as a percentage of the labour force.