Since economic growth improves the quality of life up to a point, but not made life longer, but rather obstructs sustainable living.GDP represents the total aggregate output of the economy. It is important to keep in mind that the GDP figures as reported are already adjusted for inflation. An increase in real gross domestic product, ceteris paribus, will cause an increase in average interest rates in an economy. In contrast, a decrease in real GDP also called a recession, ceteris paribus, will cause decrease in average interest rates in an economy.
Inflation can mean either an increase in the money supply or an increase in price levels. Generally, when we hear about inflation, we are hearing about a rise in prices compared to some benchmark. In finance, a bond is a debt security, in which the authorized issuer owes the holders a debt and, depending on the terms of the bond, is obliged to pay interest )to use and/or to repay the principal at a later date, termed maturity. A bond is a formal contract to repay borrowed money with interest at fixed intervals.
It also is like a loan, the holder of the bond is the lender (creditor), the issuer of the bond is the borrower (debtor), and the coupon is the interest. Bonds and stocks are both securities, but the major difference between the two is that stockholders have an equity stake in the company, whereas bondholders have a creditor stake in the company. Another difference is that bonds usually... [continues]
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