How Economists Gauge the Economy
In This Chapter
- Measuring the health of the economy by the size and changes of the gross domestic product and its components
- The unemployment rate, consumer sentiment, consumer price index, and other indicators of economic health
- Quantifying the goals of business and the consumer
- Labor policy issues
A major theme in economics is choice—consumer choice, which combination of products to produce, does a worker choose more work time or more leisure time, does a farmer plant wheat or corn, and so on.
Another important occupation of economists is measuring. They measure the size of the government, whether ...