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The world's top 10 Economies by GDP

The World’s Top 10 Economies by GDP

Gross Domestic Product (i.e. GDP) is one of the most common measures of economic output and strength. Virtually all countries around the world measure and report their GDP on a regular basis. This allows us to directly compare their economic power. Fortunately, the World Bank provides a comprehensive database of economic […]

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How to Calculate Tax Incidence

Taxes can be levied on buyers or sellers of any good or service. However, who actually pays a tax does not depend on who the tax is levied on. In economic theory, tax incidence – which refers to the distribution of a tax burden between buyers and sellers – only depends on […]

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Calculating Consumer Price Index (CPI)

The Consumer Price Index (CPI) is an indicator that measures the average change in prices paid by consumers for a representative basket of goods and services over a set period of time. It is widely used as a measure of inflation, together with the GDP deflator (see also GDP Deflator […]

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12 Things You Should Know About Economics

12 Things You Should Know About Economics

Economics affects all parts of our daily lives. So, if you want to be an informed citizen you have to know at least some of the most basic economic concepts. This will help you understand how the world works and enable you to take well-informed decisions. Now, because we know that […]

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The Four Different Types of Money

In economics, money is defined as a generally accepted medium of exchange for goods and services. Virtually anything can be considered money, as long as it performs what we call the three major functions of money (i.e. medium of exchange, store of value, unit of account). With this in mind, it is not […]

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The Four Types of Market Structures

The Four Types of Market Structures

There are quite a few different market structures that can characterize an economy. However, if you are just getting started with this topic, you may want to look at the four basic types of market structures first. Namely perfect competition, monopolistic competition, oligopoly, and monopoly. Each of them has their own set of characteristics […]

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