In economics, the Great Moderation refers to a reduction in the volatility of business cycle fluctuations starting in the mid-1980s, believed to have been caused by institutional and structural changes in developed nations in the later part of the twentieth century. Sometime during the mid-1980s major economic variables such as real GDP growth, industrial production, monthly payroll employment and the unemployment rate began to decline in volatility.
Read more about Great Moderation: Origins of The Term, Causes, Effects, Possible End
Famous quotes containing the word moderation:
“Concord River is remarkable for the gentleness of its current, which is scarcely perceptible, and some have referred to its influence the proverbial moderation of the inhabitants of Concord, as exhibited in the Revolution, and on later occasions.”
—Henry David Thoreau (1817–1862)