The balance of trade is a systematic record of transactions related to goods exchanged between residents of a particular country on the one hand and residents of the rest of the countries of the world on the other hand in a specific period. The trade balance consists of two main items: Exports: These are goods and services that are exported from a country abroad. Imports: These are goods and services that are imported from abroad into a country...
When talking about the positive expectations for an increase in the rate of economic growth in the coming years, many people come to mind that this is an indicator of an improvement in their living conditions, whether in the form of increased wages or an improvement and development of services provided by the state, but improving living conditions is not only associated with increased growth, but also includes: Also economic development, which represents a broader vision of economic development,...
The money supply is the amount of money available in the economy in a given period of time. It includes the currency in circulation in the economy, and demand deposits in banks. Economic analysts are interested in monitoring changes in the money supply, due to its impact on the price level, economic inflation, the exchange rate, and the economic cycle. There is a strong relationship between money supply growth and price inflation. In countries where…
Barter system is an economic system based on the exchange of goods or services for other goods or services without the use of money. Barter appeared in primitive times, when man was self-sufficient, and there was no need for money. Barter contributed to the development of human societies, but it became insufficient to keep pace with the development of civilization. The defects of the barter system led to the emergence of…
Definition Multiplier is an economic concept that refers to the overall increase in GDP resulting from an initial increase in one of the macroeconomic variables. The multiplier effect is caused by a chain reaction in the economy, where an increase in one economic variable leads to another increase in other economic variables. Several factors affect the size of the multiplier effect, including the tendency…
It is a long period of economic stagnation, during which overall economic activity declines, and productivity and spending decrease. A recession is associated with a decline in GDP (a country's overall economic output), increased unemployment rates, and volatility in the financial markets. Causes of Depression Several factors cause depression, and among these factors are: Types of Depression Depression can be divided into two main types: Economic depressions…
Finance is the process of providing money or capital to finance certain activities. Finance can be relevant to individuals, companies, governments, or any other entity that needs financial resources to achieve its goals. Types of financing Types of financing include a wide range of methods and sources, including: The importance of financing Financing plays a vital role in achieving economic and personal goals at the level of individuals, companies, and governments. …
Stagflation is an economic condition that combines decreased economic activity (stagflation) and high levels of inflation at the same time. This occurs when a country's GDP declines and at the same time sees price levels rise. Stagflation can occur as a result of the interplay of some economic factors, such as: Examples of stagflation cases in history include: Bank forecasts indicate...
They are the products and services that people need on a daily and basic basis to meet their basic life needs. These needs change across cultures and economic circumstances, but in general, the concept of basic goods includes things that people consider essential to live and thrive. A commodity market is a market in which basic goods and services that people need to meet their daily life needs are traded and exchanged. Includes…
Production is the process of converting inputs (resources) into outputs (goods and services) with the aim of meeting the needs of the market or consumers. Production includes all the steps necessary to create and manufacture products or provide services, starting with the extraction of raw materials and ending with the distribution of finished products. Types of production There are different types of production, including: Objectives of production The objective of production is to meet the needs and desires of society...
English 
العربية