Measurement

Abstract

While the more or less regular movements of numerous economic entities is certainly a matter of fact, the problem of how to measure the aggregate state of the economy with regard to these business fluctuations is difficult due to the many single economic magnitudes involved. Usually, the time pattern of these fluctuating economic activities is rather diverse. While some economic activities are expanding at a given point in time, others have already reached their upper turning point and still others are on the downswing; a few economic activities might even be at a lower turning point. Thus, the question of how to measure the aggregate level of business activities deserves some attention.