What factors affect GDP trends?
The rough output level of the domestic product (GDP) or trends of GDP can be influenced by a number of different internal and external national factors. These include technological innovations that affect the market value of goods and services on the import/export market; Social trends in society such as an increase in literacy, population growth and improved demography for labor fund; And cultural trends such as the rate of consumption per capita. Many GDP trends also go hand in hand when it comes to strengthening, and China is a good example in the 21st century. The strong growth of technological innovation, consumer expenditure and the population in China gave it a level of GDP growth by 9.3% in 2009 compared to only 3.3% for the rest of the world economy at that time. In the last two centuries of human history, GDP trends have also increased up in periods of extensive wars, for example during the First World War and with the advent of engineering successes that have been tounted by international trade, for example in the completion of the Panama Canal in 1914.
Macroeconomics often focuses on a wide range of income and investment across industries or companies to first understand the direction of HDP trends. In the industrial countries of the first world, these economic indicators are often based on the production and sale of investment goods with high value, such as cars, housing and heavy construction equipment. The production of these goods in such traditional economics sectors is directly associated with unemployment data and interest rates managed by trends in banking and capital investments, and can be used as a rapid method of calculating national HDP trends for quarterly.
Long -term trends of GDP are more difficult to calculate, as it is an attempt to predict changes in the overall standard of living for popus groups of ltation across several generations of society. Organization for Economic Cooperation and Development (OECD) focused in France is a groupIna, which is trying to monitor world trade and economic conditions for 34 participating countries from the European Union, North America, Japan, Australia and others. Such calculations include the average life range for the inhabitants of each nation and time devoted to leisure activities and more direct and immediate impact on GDP, such as foreign debt, investment in research and development, and hidden environmental costs that can make current levels of HDP for society, increasing or raising sources.
Another key part of the GDP trends is based on the Maslow hierarchy of needs promoted by Abraham Maslow, 20 th The American Professor of Psychology, who wrote about it in 1943, theory of human motivation . The Maslow Hierarchy basically states that as a well -being of society in general, society focuses on the needs of self -realization that may include extensive reconnaissance and engineering projects such as the Panamsky buildingCanal at the beginning of World War II. The Panama Canal initially had an annual operation of up to 1,000 ships, but since 2008 it passed over 14,000 costs per year.
Maslow "economic growth windows", as they are called, have been mapped for global events in the last 200 years. Almost generally, every tip up in the trends of GDP was preceded by world financial panic and decline. This suggests that GDP growth is governed by the social perception of economic well -being based on current events that affect GDP trends as well as raw economic data.
Monitoring of national GDP across many nations often involves attempting to assess consumer confidence, as this can directly affect the rate of consumption, even if such beliefs do not fall into a reality. An example of this is the Canadians' survey in 1998, which asked them to compare their financial situation or the level of prosperity with their parents when they were at the same age. Only 44% of the Canadians respondents believed that their economicThe condition has improved compared to their parents, while GDP per household in Canada has actually increased by 60%over the last 25 years, reflecting a much improved level of average economic prosperity.