After studying this chapter you should be able to:
Predict the effect of monetary and fiscal policies on key macroeconomic variables such as gross domestic product, interest rates, and the inflation rate.
Use leading, coincident, and lagging economic indicators to describe and predict the economy's path through the business cycle.
Predict which industries will be more or less sensitive to business cycle fluctuations.
Analyze the effect of industry life cycles and structure on industry earnings prospects over time.
