IMF publishes WEO twice yearly with updates between. Surveys global economy prospects and policies in near and medium term. Considers issues affecting advanced, emerging and developing economies
Vice-President de Guindos confirms inflation stabilising across Europe. ECB balances inflation control with economic resilience. Global events and monetary policy shifts discussed in podcast
Keynesian economics was developed by John Maynard Keynes during the Great Depression. Government intervention can stabilize the economy through fiscal and monetary policies. Keynes rejected classical economics' view that market forces would naturally restore equilibrium
Federal funds rate is the target interest rate set by FOMC. Banks must maintain reserve equal to percentage of deposits at Fed. Banks lend excess reserves overnight to each other. FOMC meets eight times yearly to set target range
Keynes introduced the consumption function to predict aggregate consumption expenditure. The function measures the relationship between income and total consumption. It tracks the proportion of income used to purchase goods and services
Macroeconomics studies economy as a whole, unlike microeconomics focusing on individuals. GDP measures total goods and services produced, with real GDP considering inflation. Unemployment rate indicates labor force's inability to find work. Inflation measured through CPI and GDP deflator, typically moving in same direction