Wage growthWage growth is a trend of increases in wages, in contrast to wage stagnation. Real wage growth is an increase in wages adjusted for inflation, while nominal wage growth is not adjusted. It is often expressed as an annual percentage increase. In macroeconomics, wage growth is one of the main measures of long-term economic growth, since it reflects the consumer's purchasing power in the economy as well as the level of living standards.
InflationDevaluation of money's purchasing powerGlobal rates of inflation in April 2026 among International Monetary Fund membersUK and US monthly inflation rates from January 1989In economics, inflation is an increase in the average price of goods and services in terms of money, though it originally referred to the increase of the money supply (monetary inflation) that can cause such a universal shift.
Great RecessionThe Great Recession was a period of contraction in economies around the world (particularly in the western world and associated countries) that occurred from late 2007 to mid-2009, overlapping with the closely related 2008 financial crisis. The scale and timing of the recession varied from country to country (see map).
Consumption (economics)Consumption refers to the use of resources to fulfill present needs and desires. It is seen in contrast to investing, which is spending for the acquisition of future income. Consumption is a major concept in economics and is also studied in many other social sciences. Different schools of economists define consumption differently.
Industrial Revolution1760–1840 agrarian to industrial era shiftA Roberts loom in a weaving shed in the United Kingdom in 1835LocationGreat BritainWestern EuropeNorth AmericaKey eventsMechanised textile productionCanal constructionSteam engineFactory systemIron production increaseThe Industrial Revolution, sometimes called the First Industrial Revolution in contrast to the subsequent Second Industrial Revolution, was a transitional period of the global economy toward more widespread, efficient and stable manufacturing processes, succeeding the Second Agricultural Revolution.
Latin AmericaLatin America (Spanish: América Latina or Latinoamérica; Portuguese: América Latina) is the cultural region of the Americas where Romance languages are predominantly spoken, primarily Spanish and Portuguese. Since it is defined according to its cultural identity instead of its geography, Latin America includes countries from both North and South America. For instance, countries from North America like Mexico, Honduras, Guatemala, etc. tend to be included.
Relative priceA relative price is the price of a commodity such as a good or service in terms of another; i.e., the ratio of two prices. A relative price may be expressed in terms of a ratio between the prices of any two goods or the ratio between the price of one good and the price of a market basket of goods (a weighted average of the prices of all other goods available in the market).
International Labour OrganizationSpecialized agency of the United NationsThe International Labour Organization (ILO) is a United Nations (UN) agency whose mandate is to advance social and economic justice by setting international labour standards. Founded in October 1919 under the League of Nations, it is one of the first and oldest specialized agencies of the UN. The ILO has 187 member states: 186 out of 193 UN member states plus the Cook Islands.
InterestIn finance and economics, interest is payment from a debtor or deposit-taking financial institution to a lender or depositor of an amount above repayment of the principal sum (that is, the amount borrowed), at a particular rate. It is distinct from a fee which the borrower may pay to the lender or some third party.
Real and nominal valueIn economics, nominalvalue refers to value measured in terms of absolute money amounts, whereas real value is considered and measured against the actual goods or services for which it can be exchanged at a given time. Real value takes into account inflation and the value of an asset in relation to its purchasing power.
Cost of livingThe cost of living is the cost of maintaining a certain standard of living for an individual or a household. Cost-of-living calculations are also used to compare the cost of maintaining a given standard of living across different geographic areas. Differences in the cost of living between locations can be measured using purchasing power parity rates. MeasurementCost of living is the cost of maintaining a certain standard of living.
OECDIntergovernmental economic organisationThe Organisation for Economic Co-operation and Development (OECD; French: Organisation de coopération et de développement économiques, OCDE) is an intergovernmental organisation with 38 member countries. It was founded in 1961 to stimulate economic progress and world trade.*As an Amazon Associate I earn from qualifying purchases.