Related topics: net profit

Supply chain outlook: The timing of the slowdown

The rapid spread of the Covid-19 virus is already having a huge impact on the global economy, which is rippling around the world via the long supply chains of major industries.

Expert explains why the odds of a coronavirus recession have risen

Throughout his career, Jeffrey Frankel, James W. Harpel Professor of Capital Formation and Growth at Harvard Kennedy School (HKS), has assiduously tried to avoid making predictions about when the next economic recession would ...

How coronavirus will affect the global supply chain

As the number of confirmed cases of a novel coronavirus named COVID-19 surges past 100,000, the impact of the disease has taken a toll on the global economy, causing fluctuations in stock prices, depressing earnings projections, ...

The growing impact of coronavirus on the global economy

As of February 2020, the number of people infected with the coronavirus Covid-19 has surpassed 80,000, with nearly 2,700 deaths. Efforts to contain the outbreak have led to full or partial quarantines of several Chinese provinces ...

Fuel efficient tech may threaten climate, public health

New automotive technology that promises enhanced fuel efficiency may have a serious downside, including significant climate and public health impacts, according to research from the University of Georgia College of Engineering.

Choose hope or climate surrender, says UN chief

Confronted with a climate crisis threatening civilisation itself, humanity must choose between hope and surrender, UN chief Antonio Guterres told the opening plenary of a UN climate conference Monday.

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World economy

The world economy can be evaluated in various ways, depending on the model used, and this valuation can then be represented in various ways (for example, in 2006 US dollars). It is inseparable from the geography and ecology of Earth, and is therefore somewhat of a misnomer, since, while definitions and representations of the "world economy" vary widely, they must at a minimum exclude any consideration of resources or value based outside of the Earth. For example, while attempts could be made to calculate the value of currently unexploited mining opportunities in unclaimed territory in Antarctica, the same opportunities on Mars would not be considered a part of the world economy – even if currently exploited in some way – and could be considered of latent value only in the same way as uncreated intellectual property, such as a previously unconceived invention.

Beyond the minimum standard of concerning value in production, use, and exchange on the planet Earth, definitions, representations, models, and valuations of the world economy vary widely.

It is common to limit questions of the world economy exclusively to human economic activity, and the world economy is typically judged in monetary terms, even in cases in which there is no efficient market to help valuate certain goods or services, or in cases in which a lack of independent research or government cooperation makes establishing figures difficult. Typical examples are illegal drugs and other black market goods, which by any standard are a part of the world economy, but for which there is by definition no legal market of any kind.

However, even in cases in which there is a clear and efficient market to establish a monetary value, economists do not typically use the current or official exchange rate to translate the monetary units of this market into a single unit for the world economy, since exchange rates typically do not closely reflect worldwide value, for example in cases where the volume or price of transactions is closely regulated by the government. Rather, market valuations in a local currency are typically translated to a single monetary unit using the idea of purchasing power. This is the method used below, which is used for estimating worldwide economic activity in terms of real US dollars. However, the world economy can be evaluated and expressed in many more ways. It is unclear, for example, how many of the world's 6.6 billion people have most of their economic activity reflected in these valuations.

This text uses material from Wikipedia, licensed under CC BY-SA