Glossary of Common Terms
From Ameri*Metrics
- GDP -- see gross domestic product
- gross domestic product (GDP) -- The most widely accepted measurement of the health of a nation's economy.
- Four key components:
- consumption (C) -- represents private-consumption expenditures by households and nonprofit organizations
- investment (I) -- refers to business expenditures by businesses and home purchases by households
- government spending (G) -- denotes expenditures on goods and services by the government
- net exports (NX) -- represents a nation’s exports minus its imports
- To learn more, see:
- Four key components:
