Describe the Terminology of Macroeconomics Including Gdp, Gnp, National Income Business Cycles, Monetary Policy, Fiscal Policy, Inflation and Unemployment

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Describe the terminology of macroeconomics including GDP, GNP, national income business cycles, monetary policy, fiscal policy, inflation and unemployment Macroeconomics is a broad sub-field of economics that establishes the behavior, outlook and structure, collective and established decision making system of an economy at large and usually involves national economies, regional and global economies with little or no involvement of the individual markets.
Gross National Product is a determining tool in macroeconomics that measures a nation’s economy and status through international investments and residents working over-seas. GNP excludes any product values produced by foreign investors within the country. GNP is a great indicator in macroeconomics when assessing economic progress in comparison with Gross Domestic Income. (Clark & Montjoy, 2001)
Macroeconomics uses GDP to determine the value of all market products and services produced within a given boundary usually a nation in a period of one year. At every stage of production, the value of all goods is added and the economic growth established based on the previously assessed standards.
Macroeconomists explain that unemployment tends to reduce with a rising GDP rate since the output is increased and thus need for more skilled and unskilled labor force. Inflation gives an explanation on the rate at which product prices increase over time. Macroeconomists study this phenomenon through The Consumer Price Index that gives a timely price for particular products. (Blanchard, 2006)
Monetary policy allows for the evaluation of the current cash levels following an economic rise. A need to increase cash levels in a country renders opportunity for investments, higher loan lending rates and overall increased production boosting an economy. Fiscal Policy of a government would…...

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