Aggregate income represents the sum total of all incomes within an economy before adjusting for inflation, taxes, or types of double-counting. It is a fundamental economic measure essential for assessing the economic health and output of a nation.
Barter is a method of trading in which goods or services are exchanged directly for other goods or services without the use of money. It is usually considered cumbersome and limits the scope of trade.
An overarching term that encompasses various elements that affect the general climate of the economy and political situation, thereby influencing the profitability and prosperity of businesses.
Capital goods are items used in the production of other goods, including industrial buildings, machinery, and equipment, as well as highways, office buildings, and government installations. These goods significantly determine a country's productive capacity.
Currency refers to various forms of money that are in circulation within an economy, serving as a medium of exchange for goods and services.
The term 'economic' pertains to matters related to the economy or the study of economics, encompassing various aspects such as production, consumption, and distribution of goods and services within a society.
Economic growth refers to the increase, from period to period, of the real value of an economy's production of goods and services, commonly expressed as an increase in Gross Domestic Product (GDP).
Economic indicators are key statistics that provide insight into the state of the economy. They help policymakers, business leaders, and investors make informed decisions about economic activities.
A recognizable and cohesive group of economic performers, including producers, labor, and consumers, who interact largely together in a geographically or industry-defined space.
A Federal Reserve District is one of twelve regions created by the Federal Reserve System, each served by a regional Federal Reserve Bank. These banks provide various financial services, regulatory oversight, and economic research relevant to their specific districts.
The Federal Trade Commission (FTC) is a federal agency founded in 1915 under the Federal Trade Commission Act of 1914, designed to protect free enterprise and promote fair competition.
Goods and Services form the backbone of any economy, representing the outputs that fulfil human needs and wants. Goods refer to tangible products, while services pertain to tasks performed by individuals or entities.
A greenback is specifically a term for U.S. paper currency, named for the green ink used on the reverse side. It can also broadly refer to any paper money not backed by physical commodities like gold or silver.
Gross National Expenditure (GNE) is the total of all expenditures of all kinds within an economy, including both public and private spending. Unlike Gross Domestic Product (GDP), GNE includes expenditures for imports but excludes exports.
An industrialist is an individual involved in the business of industry. The term evolved from the early industrial period, where large trusts and monopolies were formed by a group of business people referred to as industrialists.
An industry is a group of companies that are related based on their primary business activities. In modern economies, there are dozens of industry classifications, which are typically grouped into larger categories called sectors.
A Money Center Bank is one of the largest banks located in major financial hubs around the world, including cities like New York, Chicago, San Francisco, Los Angeles, London, Paris, and Tokyo. These banks wield significant national and international influence.
Money supply refers to the total stock of money available in an economy at a given point in time. It includes various forms of liquidity to measure how easily people can access financial assets.
The rate of inflation measures the percentage change in the price level of goods and services over a period, indicating how much prices have increased or decreased, reflecting the economy's health.
A sector refers to a distinct part of the economy, stock market, or specific division in computer storage, each sharing common characteristics.
The service sector is a crucial part of the economy, encompassing businesses that provide services rather than tangible goods. This sector is significant for employment creation and contributions to the Gross Domestic Product (GDP).
Service workers are employees who work in the service sector of the economy, representing a rapidly growing employment category as manufacturing jobs decline in the United States. These workers are often the least represented by unions.
An underdeveloped country is characterized by a low standard of living, an economy primarily based on primitive technologies for farming and manufacturing, and limited industrialization.
An unfavorable balance of trade, also known as a trade deficit, occurs when the value of a country's imports exceeds the value of its exports. It indicates that a country is purchasing more goods and services from other nations than it is selling abroad.
The working poor are individuals who are economically disadvantaged despite being fully employed. They do not earn enough income to significantly improve their overall standard of living.
