Economic Conditions
Categories: Econ, Regulations, Tax
Just like the condition of your abs, the condition of the economy is either stellar or flabby, what economists prefer to call “positive” and “sound” versus “negative” and “adverse,” depending on how they feel that day.
When economists are talking economic-conditions shop, they’re basically looking at different points on the boom-and-bust cycles that the economy goes through regularly. When the economy grows and is doing well, that’s called “economic expansion.” When the economy tanks and nobody’s spending their money frivolously anymore, it’s called “economic contraction.”
Does your belly expand when you’re spending more and contract money is tight? Is that too personal of a question? Just asking, because if so, that means things like monetary and fiscal policy, unemployment levels, technological innovation, inflation, and a bunch of other things are having a direct impact on your waistline. Next time you’re gaining weight, you can just blame it on the economy being so darn good.