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In September, it was released that retail sales increased by .3% in August despite inflation. What does this indicate about consumption in August? Based on
In September, it was released that retail sales increased by .3% in August despite inflation. What does this indicate about consumption in August? Based on this information, would aggregate expenditures in August increase or decrease and how would that affect GDP? It was found that part of the increase in retail sales was due to the lower gas prices, enabling consumers to buy more retail goods. However, now gas prices are rising again. How do you think that might affect consumption in now? How would those changes in consumption affect aggregate expenditures and GDP now? It was also found that businesses spent less in August, is this a concern? Why or why not
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