The recent global financial crisis brought to light the importance of having economists who comprehend how key economic and market statistics influence financial market trends and how to reduce the risks for companies that these trends may have. Trading Economics offers assistance in a convenient and useful manner for navigating important market figures. This book examines surveys, economic growth statistics, inflation, labour markets, global trade, monetary and fiscal indicators, and their significance in financial markets with a focus on the relationship between economic data and market movements. It avoids complicated terminology and instead provides a practical, approachable introduction to financial figures and how to make money from them.
demonstrates with clear graphics and a simple design how to trade successfully in Financial markets reduce danger for your company.
Written by reputable public figures Trevor Williams and Victoria Turton, who have expertise working on the New York Stock Exchange
The book is accompanied by a website with a blog and new polls as they appear.
Trading Economics is a crucial, all-inclusive aid to comprehending every facet of financial market trends and how to take advantage of them. It includes worked examples and up-to-date information.
WHO THE AUTHOR IS
After giving some lectures, Trevor Williams left the UK Civil Service and joined Lloyds Banking Group. Currently, Trevor serves as the Commercial Banking Chief Economist for Lloyds Bank. He frequently contributes to journals, makes appearances in the financial press, and presents economic viewpoints on television. The Institute for Economic Affairs Shadow Monetary Policy Committee, which is made up of academics and City experts, includes Trevor as a member. This “shadow” MPC, which was established in 1997 two months after the formal MPC, is the oldest. He is a visiting professor in Derby University’s banking and finance department.
Before working for the Bank of Scotland Corporate, Victoria Turton earned history degrees from the colleges of Sheffield and Manchester. She presently works for Editions as a Senior Copywriter. She has two boys, is married, and resides in North Yorkshire.
Table of contents ix Acknowledgements
Indices of Surprise xii
Charting a New Terrain xix
Behavioural Economics and Surveys 2
Survey Types 3
3 business polls
Surveys of consumers 21
Economic Development 2
Economic Development over Time 31
What Is the GDP? 39
Dissecting GDP 42
Why Is GDP Significant? What Measures It? 43
GDP Index Numbers and Price Deflactor Numbers
45 used in their calculation
Explanation of the GDP Measures in Detail 48
61 AMarket Link
GDP components 62
3 Employment Markets 65
Trends in Employment 66
What Was the Change’s Motivator? 70
Effects of Economic Growth 71
Phillips Curve Indicates the Absence of Durable Trade-Offs 74
NAIRU Is More Important 75
Workplace Measures 76
Introduction ix Acknowledgements
Surprise Indicators xii
Setting a New Course xix
Surveys and Behavioural Economics 2
Survey Formats 3
3 commercial votes
shopper surveys 21
28 In summary
Economic Progress 2
Economic Growth Throughout Time 31
What Does GDP Mean? 39
Examining GDP 42
Why Is the GDP Important? How Is It Measured? 43
Price Deflactor Numbers and GDP Index Numbers
used in their computation was 45.
Detail of the GDP Measures’ Explanation 48
AMarket Link 61
GDP elements 62
Markets for Employment 3 65
Employment Trends 66
What Driven the Change, and Why? 70
Economic Growth’s Effects 71
The Phillips Curve Shows No Durable Trade-Offs 74
NAIRU Has Greater Importance
Occupational Measures 76
Relevance to Market 173
Regulatory Authority Retains by the Bank of England 176
What Function Does the Office of Budget Responsibility Have in the Making of Fiscal Policy? 180
The Committee for Monetary Policy 181
Another Bank Innovation: Forward Guidance 183
The Function of the Debt Management Office 185
International Debt Comparison 188
Fiscal Goals Give Debt Reduction Credibility 190
What Value Can We Draw from This? 192
7 Statistics on World Trade 195
What Is the Balance of Payments for a Country?
What Motivates Us to Measure the Balance of Payments?
Why Does It Matter? 198
The Balance of Payments Concept 199
The UK Is Not the Only Country with a Trade Deficit 204
A Long-Term Goods Shortfall 208
An Ongoing Services Surplus to Nearly Offset the Trade Deficit 210
Market Relevance 173
The Bank of England Retains Regulatory Authority 176
What role in the formulation of fiscal policy does the Office of Budget Responsibility play? 180
monetary policy committee 181
Forward Guidance Is Yet Another Bank Innovation 183
The Debt Management Office’s Purpose 185
Comparison of Global Debt 188
Fiscal Objectives Encourage Debt Reduction 190 Credibility
What Implications Can We Make of This? 192
7 World Trade Statistics 195
What Is a Country’s Balance of Payments?
Why Do We Calculate the Balance of Payments?
Why Is It Important? 198
The Concept of the Balance of Payments 199
There are other nations with trade deficits besides just the UK 204
A Shortfall in Long-Term Goods 208
A Continuous Service Nearly Offset the Trade Deficit with the Surplus