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The Complete Idiot’s Guide® To: Economic Indicators by Mark R. Rogers

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Chapter 16. Industrial Production: Keeping the Assembly Lines Running

In This Chapter

  • The key measures of industrial output are explained

  • Manufacturing capacity utilization portends inflation and investment

  • The durable goods orders report tells us where manufacturing is headed

  • The factory orders report is more comprehensive than the durables report

The industrial sector is important to the economy even though it is not the largest component. Industrial production is very sensitive to the business cycle since it’s responsive to changes in interest rates as well as to consumer and business income.

Did you know that more discretionary purchases are produced in the industrial sector than in the services sector? These include notable durables purchases such ...

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