Yeah, only people who have less clue about the truth are the ones that think, “Inflation is triggered by the minimum wage”. I.e. – Keep your money someplace else, create careers where labor is cheap, and make someone else shell out the dough, so you keep as much money as you can, without spending it ever.
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That means if the rest is kept constant, if I rise so will GDP, or said another real way, if more income is committed to capital equipment and plants, gDP should be expected to grow then. If capital investment down slows, all else being equal, GDP down slows. But realize, for there to be changes in capital investment, other aspects of the economy must have changed first, most of them political and psychological, to entice people to improve their well-thought out plans.
While changes in consumer, federal government, and international spending might be more arbitrary, irrational, unpredictable, and frequent, changes in investment isn’t. This makes it a “lagging” term Something fundamentally will need to have changed in others for there to be real change in investment. However, because the investment is so steady, any apparent change in it creates it a “leading” signal of things to come, of which makes any sense.
Nevertheless, this term is probably the most abstract of the four for you since it has the least to do with your daily lives, which are extremely hard to relate with. Government spending, however, is not sense you are bombarded with furious rhetoric about any of it daily from the myriad of new stories and political broadcasts. GOVERNMENT SPENDING IS NOTHING MORE THAN that area of the various government finances used to buy goods and services.