A Volatile State

In the recent events looming over the economy: the technology stocks plummet, the possibility of engaging in a war with Iraq, and sales expectations for a not so Merry Christmas, many speculate where the economy is, and where it is headed. Are we primed for another surging growth, as we have seen prior to the stock plummet and corporate scandals or are we headed for a possible deflation?
There are many indicators which provide a general incite into the current state of the economy and its expectation. The main indicators are: the gross domestic product, the unemployment rate, inflation, and consumer confidence, which plays a large role in consumer spending.
The primary measure of growth is the gross domestic product (GDP). On October 31, 2002, the Commerce Department released a report stating that the gross domestic product rose to a rate of 3.1 percent in the third quarter, compared to just a 1.3 percent for the second quarter. This growth in the GDP, although an improveme...