Slower Growth Still Means Economic Expansion
Summary
Hollow Point Trading shares a short explainer on why slower growth does not necessarily mean a shrinking economy. A hypothetical output index rises from 100 to 104, then 106, showing that output can keep expanding even as its growth rate falls from 4% to about 1.92%.
https://youtu.be/ugY0ESJmWdI
A slowing growth rate can still mean expansion #Shorts
Slower growth does not automatically mean a shrinking economy. Consider a hypothetical output index that rises from one hundred to one hundred four, then to one hundred six. Output increased in both periods. The first growth rate is four percent. The second is two divided by one hundred four, about one point nine two percent. Growth slowed, but ...
