Economic indicators used by economists can indicate the overall health of the economy. They can potentially be anything the investor chooses, but specific pieces of data released by government and non- profit organizations have become widely followed. They include:
1. Employment- perhaps the most important indicator of the health of the economy. It presumes that when people are out of work, they cannot make necessary purchases that drive corporate profits. If favorable, it results in the biggest one-day movements in both bond and stock markets.
2. Inflation - higher inflation will correspond with high discount rates and subsequently lower project value.
3.Consumer activity - what people buy and where they shop can provide valuable information about the economy.
4. Investor activity - e.g. when foreign central banks are buying U.S. treasuries, interest rates often head lower, when rates are lower, stock prices tend to move higher. The reverse is true - less buying, higher interest rates and, depressed stock prices
Answer:
option <em>a</em><em> </em><em>is</em><em> </em><em>the</em><em> </em><em>answer</em><em>.</em><em> </em>
<em>Ans</em><em>-</em><em> </em><em>seperation</em><em> </em><em>of</em><em> </em><em>powers</em>
