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What are the four key concepts that help explain economic fluctuations?
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- what are the causes of economic fluctuatiWhat has happened to the macroeconomic over the past two years? What is happening with the macroeconomic indicator today?In macroeconomics, how can you tell when someone has worked too hard or too little during a period of inflation? Please answer numerically and graphically.
- Why is a business cycle diagram serve as a forecasting modelWhat are the definitions of nominal and real changes in macroeconomics?What industry sectors are most likely to add jobs during a down economy and an improving economy respectively? Are there employment sectors that are essentially unaffected by economic fluctuations?
- How do economists use a basket of goods and services to measure the price level?Why might it be important to be able to predict the business cycles ? Who might be interested in being able to predict the next business cycle ?Economic variables are sometimes divided into “leading indicators” and “lagging indicators.” Leading indicators are variables that start to change before an economic expansion or contraction. Lagging indicators change only when an expansion or contraction is well underway. Based on the graph of the unemployment rate, is unemployment a leading or lagging indicator of recessions? Explain. How can we use this information when providing advice to a company that sells goods to consumers?