Economics

Full employment refers to a state in an economy where virtually all individuals who are willing and able to work are employed. It does not mean zero unemployment but suggests that any unemployment that exists is only temporary or frictional, occurring as individuals transition between jobs. Achieving full employment is a primary goal for policymakers […]

Money serves several functions in an economy that are crucial for facilitating economic transactions, wealth accumulation, and overall economic stability. These functions highlight the essential roles that money plays in the functioning of modern economies. Key Functions of Money 1. Medium of Exchange Money acts as a medium of exchange, meaning it is widely accepted

As an economist, I often find that GDP—Gross Domestic Product—gets most of the attention when discussing economic health. But the GDP deflator is just as crucial, even if it doesn’t make headlines. It helps us adjust nominal GDP for inflation, giving a clearer picture of real economic growth. In this article, I’ll break down what

The general price level refers to the overall level of prices for goods and services in an economy over a specified period. It is a crucial economic indicator that reflects changes in purchasing power, inflation rates, and the overall cost of living. Exploring the concept of the general price level helps individuals and businesses understand

Gross Domestic Product (GDP) is the backbone of economic analysis. It measures the total value of goods and services produced within a country’s borders over a specific period. As someone who has spent years dissecting economic indicators, I find GDP to be one of the most revealing metrics for understanding a nation’s economic health. In

When I analyze a country’s economic health, I often turn to Gross National Product (GNP). While Gross Domestic Product (GDP) gets most of the attention, GNP offers a broader perspective by accounting for the income earned by a nation’s residents, regardless of where they produce it. In this article, I break down GNP—what it means,

Hidden unemployment, often overlooked in economic reports, distorts our understanding of the real labor market. As someone who has spent years dissecting labor statistics and macroeconomic indicators, I’ve learned that what we see on the surface rarely tells the full story. In this article, I’ll explore the complex layers of hidden unemployment, reveal how it

Hyperinflation sounds like a term out of a dystopian novel, but it’s very real. As someone who works in finance, I’ve studied both the numbers and the human consequences of runaway prices. In this guide, I want to walk you through the mechanics of hyperinflation, not with hype, but with clarity. We’ll look at the

Immigrant Remittances are money transfers sent by immigrants to their family members or friends in their home countries. These remittances play a significant role in the economies of many developing nations and can greatly impact both the sender and the recipient’s financial situations. Why Are Immigrant Remittances Important? How Do Immigrant Remittances Work? Example of

Income distribution refers to the way in which total income is divided among individuals or households in a particular population or society. This guide aims to explain the concept of income distribution, its significance, and factors that influence it, using easy-to-understand language. What is Income Distribution? Income distribution refers to how the total income earned