Gross domestic product

GDP is one of the economic indicators by which the monetary value of total goods measure along with the overall services that Tantha one states , during a certain period of time. The usual practice is taken GDP on a quarterly and semi-annual and annual scale, but there are some countries which also calculates GDP over the months , such as Canada. We must care about the definition of gross domestic product that measures the market value of the cash value , which means that prices also change alters the GDP accounts. It includes GDP through the collection of values ​​for each of productive activities in one of the countries , along with the resulting nation-wide total could be calculated through consumption expenditures per household and corporate and government sectors and investment balances and trade exchanges with other trade balance states. It is possible to understand the GDP calculated through macroeconomic equation :
GDP = private consumption + investment + government investment + government spending + net trade balance . Where: net trade balance = exports - imports GDP = consumption + investment + government investment + government spending + (exports - imports). Watching central banks and investors GDP change , as the GDP value alone may not benefit so much to the study of the economy , but traders follow the growth or contraction or stunted growth in the gross domestic product by comparing the intervals. Usual to compare GDP growth periods are: a year , half a year , a quarter of the year , compared to the same quarter of the previous year. When we say that GDP grew , it refers to the height of some or all or one of the components of the equation , and when we say contraction , it means the decline . By GDP , the central banks growth levels strives to GDP remains within reasonable growth is follow economic cycles ,

 the great growth may be a risk , since it causes a rise in inflation levels often with few growth values ​​indicate a weak economy . Recessions are more what Akulq bank of central banks , as the decline in GDP, the appearance of any negative values ​​to change, refers to a bad phase in the economy. For the case of economic recession , it is a situation where GDP will be reduced ( contracted ) for tw

o quarters in a row , according to the definition of classical economics , as recent studies suggest that the decline in GDP growth over a specific time period is also considered a recession , although the latter is not recognized in which the central banks .