Categories
Home/Business & Economics/The number of macroeconomic variables declines during recessions. One of these variables is the GDP. What other variables, besides real GDP, tend to decline during recessions? Given the definition of real GDP and its components, explain the declines in these economic variables which are to be expected. Empirical studies indicate that the long-run trend in real GDP of the USA has an upward trend. How are this possible, given business cycles and macroeconomic fluctuations? What factors explain the upward trend in spite of the cycles?

The number of macroeconomic variables declines during recessions. One of these variables is the GDP. What other variables, besides real GDP, tend to decline during recessions? Given the definition of real GDP and its components, explain the declines in these economic variables which are to be expected. Empirical studies indicate that the long-run trend in real GDP of the USA has an upward trend. How are this possible, given business cycles and macroeconomic fluctuations? What factors explain the upward trend in spite of the cycles?

To add to the GDP, income, investments, labor, sales, and property acquisitions all decline during depressions. GDP is calculated using the manufacturing of, spending on, and income from the overall assets and services. As a result, every variable measuring output, spending, or income advances proportionally to the GDP.

The general trends are positive, but the graph shows that real GDP tends to contract, particularly during the severe recessions of 1973–1975 and 1981–1982. Despite the economy experiencing recessions and booms between 1960 and 2011, real GDP rose.

Rate the answer:
Views: 20
Further research on topic
Answer by Academic.tip's expert
An answer to this question is provided by one of our experts who specializes in business & economics. Let us know how much you liked it and give it a rating.

Cite this page

Select a citation style:

References

Academic.Tips. (2022) 'The number of macroeconomic variables declines during recessions. One of these variables is the GDP. What other variables, besides real GDP, tend to decline during recessions? Given the definition of real GDP and its components, explain the declines in these economic variables which are to be expected. Empirical studies indicate that the long-run trend in real GDP of the USA has an upward trend. How are this possible, given business cycles and macroeconomic fluctuations? What factors explain the upward trend in spite of the cycles'. 18 November.

Reference

Academic.Tips. (2022, November 18). The number of macroeconomic variables declines during recessions. One of these variables is the GDP. What other variables, besides real GDP, tend to decline during recessions? Given the definition of real GDP and its components, explain the declines in these economic variables which are to be expected. Empirical studies indicate that the long-run trend in real GDP of the USA has an upward trend. How are this possible, given business cycles and macroeconomic fluctuations? What factors explain the upward trend in spite of the cycles? https://academic.tips/question/the-number-of-macroeconomic-variables-declines-during-recessions-one-of-these-variables-is-the-gdp-what-other-variables-besides-real-gdp-tend-to-decline-during-recessions-given-the-definition-of/

References

Academic.Tips. 2022. "The number of macroeconomic variables declines during recessions. One of these variables is the GDP. What other variables, besides real GDP, tend to decline during recessions? Given the definition of real GDP and its components, explain the declines in these economic variables which are to be expected. Empirical studies indicate that the long-run trend in real GDP of the USA has an upward trend. How are this possible, given business cycles and macroeconomic fluctuations? What factors explain the upward trend in spite of the cycles?" November 18, 2022. https://academic.tips/question/the-number-of-macroeconomic-variables-declines-during-recessions-one-of-these-variables-is-the-gdp-what-other-variables-besides-real-gdp-tend-to-decline-during-recessions-given-the-definition-of/.

1. Academic.Tips. "The number of macroeconomic variables declines during recessions. One of these variables is the GDP. What other variables, besides real GDP, tend to decline during recessions? Given the definition of real GDP and its components, explain the declines in these economic variables which are to be expected. Empirical studies indicate that the long-run trend in real GDP of the USA has an upward trend. How are this possible, given business cycles and macroeconomic fluctuations? What factors explain the upward trend in spite of the cycles?" November 18, 2022. https://academic.tips/question/the-number-of-macroeconomic-variables-declines-during-recessions-one-of-these-variables-is-the-gdp-what-other-variables-besides-real-gdp-tend-to-decline-during-recessions-given-the-definition-of/.


Bibliography


Academic.Tips. "The number of macroeconomic variables declines during recessions. One of these variables is the GDP. What other variables, besides real GDP, tend to decline during recessions? Given the definition of real GDP and its components, explain the declines in these economic variables which are to be expected. Empirical studies indicate that the long-run trend in real GDP of the USA has an upward trend. How are this possible, given business cycles and macroeconomic fluctuations? What factors explain the upward trend in spite of the cycles?" November 18, 2022. https://academic.tips/question/the-number-of-macroeconomic-variables-declines-during-recessions-one-of-these-variables-is-the-gdp-what-other-variables-besides-real-gdp-tend-to-decline-during-recessions-given-the-definition-of/.

Work Cited

"The number of macroeconomic variables declines during recessions. One of these variables is the GDP. What other variables, besides real GDP, tend to decline during recessions? Given the definition of real GDP and its components, explain the declines in these economic variables which are to be expected. Empirical studies indicate that the long-run trend in real GDP of the USA has an upward trend. How are this possible, given business cycles and macroeconomic fluctuations? What factors explain the upward trend in spite of the cycles?" Academic.Tips, 18 Nov. 2022, academic.tips/question/the-number-of-macroeconomic-variables-declines-during-recessions-one-of-these-variables-is-the-gdp-what-other-variables-besides-real-gdp-tend-to-decline-during-recessions-given-the-definition-of/.

Copy
Select a newspaper, magazine, or Internet article published in 2020-2021 that is related to international business ethics. Summarize the content of the article in your own words.
Assume that a hypothetical economy is at long-run macroeconomic equilibrium, with full employment and stable prices. Suddenly the stock market prices increased much more than expected, increasing investors’ wealth and causing a short-term period of unusually increased optimism about the future of the economy. In the short run, will the AS curve or the AD curve shift, and in which direction will it shift? In the short run, what will happen to the price level and quantity of output (real GDP)? Explain what, if any, impact will there likely be on workers’ wages and the reasons for this impact. In the long run, which curve will shift due to the change in wages and price expectations created by the stock market boom? In which direction will it shift? When the economy returns to its long-term output level, how will the new long-run macroeconomic equilibrium differ from the original equilibrium?
Check the price of your paper