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Showing posts with the label National Income and controling inflation

U.S. Economic Growth Slows Amid Tariff Pressures: A 2025 Outlook

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📉 U.S. Economic Growth Slows Amid Tariff Pressures: A 2025 Outlook As 2025 unfolds, the U.S. economy is showing signs of strain amid a global slowdown and heightened trade barriers. Here's a detailed look at the latest forecasts and implications based on insights from the OECD, Federal Reserve, and key market indicators . 📊 1. U.S. Growth Forecast Downgraded by OECD The Organisation for Economic Co-operation and Development (OECD) has revised the U.S. GDP growth forecast for 2025 to 1.6% , down from 2.8% in 2024 . The forecast for 2026 remains muted at 1.5% , reflecting persistent uncertainty driven by: Elevated trade barriers Reduced consumer spending power Sluggish business investment 💸 2. Tariffs Fueling Inflation & Trade Costs The average U.S. tariff rate has climbed to 15.4% , the highest level since 1938 . These tariffs have raised import costs, which are now being passed on to consumers: Projected consumer price inflation is expected to rise to...
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National Income and controling inflation

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National Income refers to the total value of all goods and services produced within a country's borders during a particular time period, typically a year. The components of national income can be broadly classified into four categories: Gross Domestic Product (GDP): It is the sum of all final goods and services produced within the domestic territory of India during a given year. It includes consumer spending, investment spending, government spending, and net exports. Net Factor Income from Abroad (NFIA): It is the difference between income earned by Indian residents from foreign sources and income earned by foreign residents in India. Net indirect taxes: These are taxes imposed on the production and sale of goods and services, such as excise duty, sales tax, and value-added tax. The net indirect taxes are calculated as indirect taxes collected by the government minus subsidies given by the government. Depreciation: It is the value of the capital used up in the production process...
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