Before opening our company, today we will discuss the differences between micro and macro economics. Then we'll go into more depth about the business cycle of economics
GDP, unemployment, and CPI are all calculations which help to determine the upturns and down turns of the economy. Each will give off information of bits of the economy.
Microeconomics deals with how decisions are made by individuals and firms and the consequences of those decisions while macroeconomics deals with how the actions of individuals and firms in the economy interact to produce a particular economy-wide level of economics performances
Good because I am very unsure of any of that!!
Well, GDP can tell us the measure of the size of the economy, unemployment can tell us how difficult or easy it is to get a job in the current economy, and CPI can tell us the changes over time of the costs of purchases from a typical American family. I hope you got all of that because its time for me to go. We can discuss it more in our next meeting but we will hire someone to take care of most of it.
No, when running a business it is important to know about both!!
Wow, that was a lot!! So, will we only need to know about Macroeconomics?
I have to get to dinner so I'm going to have to cut this next part short but it is important for us to know about the downturns and upturns of the economy, the business cycle
I think this is a little more important than dinner!!!
What do those three things do for the business cycle?
Thank goodness we are hiring someone for that!! I can't wait to get E&C corporations started!