Major Economic Indicators

Economics is the study of the economy, and that picture is incomplete without a set of economic indicators.

Learning Tip

Economic indicators give us method to study economies via numerical and statistical analysis. These indicators are quite crucial for the study of economy.

Macro-economic

Major Economic Indicators

These are some of the most closely watched macroeconomic indicators.

Gross domestic product (GDP) nominal is the total value of all of the completed goods and services produced by an economy during a period of one year.

The gross domestic product of the United States reached $26.5 trillion in 2023.

The Unemployment Report estimates the number of people who are working for pay during a given period. More importantly, the number is tracked over time in order to determine whether unemployment is worsening.

Inflation in consumer prices is measured and tracked so that problems in the economy can be pinpointed. If the rate of inflation is outpacing the rate of income growth, the economy is in trouble. Inflation can be negative, too; this is called deflation, but it is relatively rare.

Trade Balance: An economy’s balance of trade is a comparison of the amount of money that is spent on imports of goods and services and the amount of money it earns on goods and services it exports. It is measured primarily by recording all of the products that pass through the customs office of a country.