What is economic overheating? And the equivalent income?

by Andrea
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What is economic overheating? And the equivalent income?

Zap // from the-e-2

What is economic overheating? And the equivalent income?

Or the public debt ratio, besides the very commented GDP. Complicated terms of the economy that we try to uncomplicate – it’s not always easy.

This week began, as expected, with new figures about the Portuguese and European economy.

In Europe: Annual Eurozone inflation set out at 2.5% in January 2025, below 2.8% of the same year’s same year, but above 2.4% of December 2024.

Here, there should be no news for many people: the inflation It is the widespread and continuous climb of the average level of the price of goods and services over a period, explains the. Annual inflation is the climb of prices over a year.

In Portugal: The public debt ratio retreated to 95.3% of Gross Domestic Product (GDP) in 2024, below 97.9% of the previous year and the lowest value since June 2010, the Banco de Portugal released.

Two questions here. First, what is the public debt ratio? Analyzes the evolution and risk of public debt. Measures the list of public debt with GDP, reinforces the.

Monday, what is the famous GDP? THE Gross domestic product It is the product created in a given economic territory by resident and non -resident units. It is the set of all goods and services, which generate value from national or foreign companies, in a given country, defines the.

Do you think it has been complicated so far? Let’s complicate a little more.

If we let something warm too, we go into overheating. And in the economy there is also the Economic overheating: It is the uncontrolled growth of economic activity. It usually happens when consumption constantly increases, and in such a way that supply does not adapt proportionally to search – prices go up significantly and the positive spiral begins to give problems, warns.

A few weeks ago we crossed in one with the average annual liquid monetary yield by an equivalent adult. As? The average equivalent adult yield is a statistical measure that adjusts the total income of a household to reflect the number of people who depend on this income; It is the result obtained by the division of the income of each aggregate by its size in terms of equivalent adults, explains the.

And the glossary of the economy is much greater than that. It will be for a next one.

Nuno Teixeira da Silva, Zap //

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