Significance
If, indeed, a price-level component could be distinguished, then it would be possible to measure the difference in overall prices between two regions or intervals. For example, the inflation rate could be measured as
and “real” economic growth or contraction could be distinguished from mere price changes by deflating GDP or some other measure.
Read more about this topic: Price Level
Famous quotes containing the word significance:
“Of what significance the light of day, if it is not the reflection of an inward dawn?—to what purpose is the veil of night withdrawn, if the morning reveals nothing to the soul? It is merely garish and glaring.”
—Henry David Thoreau (1817–1862)
“To grasp the full significance of life is the actor’s duty, to interpret it is his problem, and to express it his dedication.”
—Marlon Brando (b. 1924)
“The hysterical find too much significance in things. The depressed find too little.”
—Mason Cooley (b. 1927)