Even if your business is small, it is still helpful to understand certain relationships in macroeconomics, which is a field that studies the dynamics of a nation's overall economy. Understanding ...

Aggregate supply is the total value of goods or services in a market, sector or economy. Aggregate supply is used to show the amount of goods that can be produced at different price levels in a given ...

Investopedia contributors come from a range of backgrounds, and over 25 years there have been thousands of expert writers and editors who have contributed. Robert Kelly is managing director of XTS ...

The author analyzes the inflation-targeting model that underlies recent textbook expositions of the aggregate demand—aggregate supply approach used in introductory courses in macroeconomics. He shows ...

The standard Blanchard-Quah (BQ) decomposition forces aggregate demand and supply shocks to be orthogonal. However, this assumption is problematic for a nation with an inflation target. The very ...