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Edexcel IAL·Economics·IAL Economics

Measuring the Economy

13 min read

Economic growth and GDP, inflation, unemployment and the balance of payments — the key macro indicators.

Macroeconomics looks at the economy as a whole, measured by four key indicators.

Economic growth and GDP

Gross Domestic Product (GDP) is the total value of output in a year. Economic growth is the rise in real GDP. Real GDP is adjusted for inflation (unlike nominal GDP).

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