ECON 1202 Lecture Notes - Lecture 2: John Maynard Keynes, Disinflation, Stagflation

• School: UConn
• Department: Economics
• Course: ECON 1202
• Professor: Derek Johnson

Document Summary

Econ 1202 lecture- economic way of thinking. Most known and influential economist of the 20th century. Leading to the general theory of employment, interest and money. The level of changes in a nation: the output of goods and services. Gdp is measuring the output of those goods and services: general level of prices. Disinflation- a decline in the rate of employment. Stagflation- inflation with falling output (falling gdp: unemployment. Correlates between the changes of the gdp: structure of interest rates. Observing the level and changes in interest rates. Correlates with level of prices and price changes: distribution of wealth and income (often in microeconomics) Real gdp takes out the prices and measures the actual number of production. Gdp has been fluctuating from 1990- present day: business cycles, economic goal is to smooth out the business cycles without lowering the trend line. Leading to sustainable economic growth through the nation.