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Definition: Economic growth is a long-term expansion of the productive potential of the economy.

Chain of Argument:

↑Primary Product dependency → ↓Terms of ...

A reduction in interest rates would lead to a boost in Aggregate Demand and therefore an increase in real national output. If the monetary policy committee decide to reduce interest rates then the incenti...

AD=C+I+G+(X-M) Interest rates (i) determine the return of saving money in a bank and the cost of borrowing money from a bank. Therefore, a fall in i means that the cost of borrowing falls and the return o...

The equilibrium price and quantity within a market for a good can be found at the intersection of the supply and demand curves. Therefore, we need to use a mathematical method to find the P and Q by equat...

iPhones and Samsung phones can be considered close substitutes, i.e. if the price of one increases, consumers may wish to switch to the cheaper alternative. This means the demand for the substitute will r...