Often, as economists, we are interested in measuring how expensive imports are compared to the price received for exports. The…
Consumer Price Index (CPI) and inflation rate formula
Consumer price index formulaCalculate CPI with one goodCalculate CPI with two goodsInflation rate formulaCalculate inflation rate with one goodCalculate inflation…
Why does aggregate supply slope upwards?
The aggregate supply curve does not slope upwards for the same reason that the supply curve slopes upwards for an…
Net foreign investment formula
Net foreign investment (which is also referred to as net capital outflow) is the total amount of investment overseas done…
Natural rate of unemployment
The natural rate of unemployment or Non-Accelerating Inflation Rate of Unemployment (NAIRU) is the rate of unemployment at which inflation…