Measuring the Macroeconomy and key variables of Macroeconomics

Measuring the Macroeconomy:

The Importance of Data

Economics is a societal science. It’s about us, about what we do. Therefore it shares with further social sciences, one major source of information, Introspection.

Although economists are in better situation than nearly all other social scientists to the extent that their sources of information are concerned. Everything which passes through the economy is valued and sold. So economists have quantitative information to deal with: prices, values, and quantities.

The six key variables:

•    Real GDP (Gross Domestic Product)
•    The interest rate
•    The exchange rate.
•    The unemployment rate
•    The level of the stock market
•    The inflation rate (that is, the proportional rate of change in the price level)

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