In this article, we will know what is economic data and its uses and features. You must have often heard that economic experts bring out the positive and negative aspects of any policy or economic decision taken by the government. All these decisions are not supported by mere estimates but on concrete economic data, which are in the form of statistical data obtained from various resources.
What is Economic Data
Economic data or economic statistics are data describing a real economy, past or present. The economic sector is concerned with the collection, organization, analysis, interpretation and presentation of data. The importance of statistics in the subject of economics is well known, because all the collection, compilation, processing, dissemination and analysis of economic data is done with the help of statistics.
Economic data plays an important role in understanding economic data, such as the relationship between quantity and price, supply and demand, economic output, GDP, per capita income of nations, etc.
Many data are organized and compiled according to the methodology of national accounting at the level of an economy.
Such data also includes gross national product and its components, gross national expenditure, gross national income in the national income and product accounts, and capital stock and national wealth.
In these examples the data may be stated in either nominal or real values, i.e. in money or inflation-adjusted terms. Other economic indicators include output, orders, trade, labor force, confidence, prices and various alternative measures of the financial chain. Internationally, there are a number of ranges including international trade, international financial flows, direct investment flows and exchange rates.
Use of financial data
The most common uses of economic data are for economic forecasting and vigorous economic analysis. This data is also used by industries to plan for expansion or growth. This data can be used to enrich financial data in a variety of ways, such as time series or financial analysis.
It is the study of the economic environment, its strengths and weaknesses as well as the potential for improvement. Economic analysis uses modern technology and economic modeling to provide deep insights. Economic analysis is used by government agencies to develop economic policies and economic calendars.
Financial institutions use it to assess the impact on commodities such as natural gas or the stock market, and companies use it to find growth opportunities. Economic data is used in conjunction with other financial data to power economic analysis.
Features of financial data
The economic characteristics of the data vary by country and include standard indicators. This includes the following:
- Gross domestic product (GDP)
- GDP growth rate GDP
- government debt
- unemployment rate
- For reference, the population of the country or region
- international trade
- gross national expenditure
- national wealth
- balance of trade
- rate of interest
- inflation rate
- Industrial Production
- federal Reserve