Data Exercise One
ECON 201: Principles of Macroeconomics
September 5, 2014
To live in an economy that is not negatively impacted by recession, downsizing, or business capsizing would be ideal. The unfortunate reality is that we are faced with economic situations that will be either helpful or hurtful to us all. Over the last few quarters between 2013 and 2014 the U.S. Bureau of Economic Analysis (BEA), conducted an analysis that reflects the changes in GDP. During this time the Nominal GDP was much greater than the Real GDP.
Expenditures Approach to Calculating GDP
-638175208978500From 2013 through 2014 the Nominal GDP was greater because the values during that time were not adjusted. It is understood that Nominal GDP is the …show more content…
Index of Economic Freedom
2011 LUXEMBOURG SWITZERLAND SWEDEN UNITED STATES JAPAN RUSSIAN FEDERATION MEXICO CHINA
Overall
Economic
Freedom 74.2 81.6 73.1 75.5 72.4 59.1 66.8 52.5
Business 72.6 74.4 91.1 89.2 80.0 70.0 76.8 49.7
Trade 87.8 90.0 87.8 86.8 82.4 74.6 85.6 71.8
Financial Freedom 80.0 80.0 80.0 70.0 50.0 30.0 60.0 30.0
Property Rights 90.0 90.1 90.0 80.0 80.0 25.0 50.0 20.0
According to the data provided above in the table, Switzerland has the highest and more positive indication of economic freedom based on the data received from the Heritage Foundation’s website. Switzerland is then followed by the United States, Luxembourg, Sweden and finally Japan. This countries have more financial flexibility compared to Russia, Mexico and China. When it comes to the business rankings, Sweden is the highest followed by the United States, Japan, Switzerland then Luxembourg. According to these numbers the previous mentioned countries have a better opportunity for business.
In the trade category, all countries appear to have good, positive numbers. To me this signifies that the import and exporting services are fully operational and that goods and services are open. The financial freedom category is good for all except Japan, Russia, Mexico and China. These numbers could be low because of the government involvement. These countries are more diplomatically ruled and