An economic consequence refers to the impact or result that an event or situation has on the economy. It often involves changes in production, consumption, employment, prices, and overall economic growth.
Related terms
Inflation: Inflation is a sustained increase in the general price level of goods and services in an economy over time. It occurs when there is too much money chasing too few goods, leading to a decrease in purchasing power.
Unemployment: Unemployment refers to the state of being without a job but actively seeking employment. It affects individuals' income levels and spending power while also impacting overall productivity within an economy.
Dependency Ratio: The dependency ratio measures the number of dependents (people who are not part of the workforce) compared to those who are working. A higher dependency ratio due to an aging population puts pressure on workers who need to support both themselves and non-working individuals such as retirees.