the economic climate DONE Flashcards
What Is The Economic Climate? Definition And Examples
The term ‘economic climate‘ refers to the general state of the regional, national, or global economy. Economic climate usually reflects the state of the jobs market, stock market, or the availability of credit. It may also reflect how consumers view economic conditions.
Business people and policymakers
Business people and policymakers typically base their borrowing, lending, and investment decisions on the economic climate. It may also influence borrowing decisions.
The Cambridge Dictionary defines the term as follows:
“The general condition of the economy in a particular country or in the world.”
Economic climate
When people use the term ‘economic climate,’ they are usually referring to current economic conditions.
Economics of climate change
The ‘economics of climate change’ refers to the study of the economic impact of climate change. Specifically, the economic costs and benefits of climate change
.
It also refers to the economic impact of the measures we take to mitigate the effects of climate change.
Climate change is
Climate change is a large-scale, long-term change in Earth’s weather patterns and average temperatures. We often use the term ‘global warming‘ with the same meaning.
Most scientists say that our atmosphere and oceans are getting warmer. They also say that it is our fault.
Economic climate
The economic climate is simply the general state of the overall economy, i.e., the economic conditions.
The term refers to the current state of the economy of a nation, region, or the world.
Economic climates changes….
Economic climates change over time, depending on where in the business cycle we are. The business cycle is a cycle of recession and recovery that the economy goes through.
Fluctuations in production and trade….
in a market economy cause the business cycle. We also refer to it as the boom-bust cycle.
When GDP is expanding rapidly, we say that …..
the economic climate is positive or sound. On the other hand, when GDP is shrinking or not growing, we say that the climate is negative or adverse.
GDP stands for….
GDP stands for Gross Domestic Product. It is a measure of production that equals all the goods and services that an economy produces over a specific period.
ite.
the economic climate
refers to the state of the economy a business operates in
the economy
an entire network of producers, distributors and consumers of goods in a local, regional or national community.
gdp
a measure of how much a country produce per year. influnced by income and employment
economic growth
gdp rises.
recession
when gdp falls in two consective quarters
effects of rising gdp
unemployment falls
consumer spending rise
effects of falling gdp
business produce less
staff redunancy
employment fall
consumer spending fall
level of income
average income of nation
disposable income what is left after paying taxes
rising income effects
buy more luxury sales increased high quality more revenue extra demand; more shops, factory etc
falling income effects
lower quality goods
non branded goods#
less revenue
closure of stores
how are businesses affected by change of income
how competitors respond
new target market
how much income has changed
level of employment
how many people work in a country
level of unemployment
how many people do not work in a country
level of unemployment
how many people do not work in a country
level of unemployment rfalls
more competition- higher wages for limited skils
more wages higher income
wages
level of unemployment rise
compdetition- lower wages
distribution of income
refers the gap between the rich and poor incomes. it can be unequal
the economic climate international
feat all of the world, this could affect businesses in the uk
recession
can be bad, a business most choose a good strategy so the would not fail
human resources
improve productivity
movitation and training
production
reduce waste
reduce cost per unit
use automaton - 24/7
marketing
up,market or cheap to appeal to crowd promotion - target a new group of people pricing - promotional place - online in stiore etc.
finance
reduce costs
improve cash flow
reduce interest rates
no loans
