What is the relationship between GDP growth and/or decline, high/low unemployment, and high/low inflation rates.

 

GDP growth is inversely proportional to decline or economic decline. This means higher the GDP growth, lower the decline.

GDP growth is inversely proportional to unemployment. This means higher the GDP growth, lower the unemployment rate.

GDP growth is directly proportional to inflation rate. This means that higher the GDP growth, higher the inflation rate.

Gross Domestic Product is the total value of goods and services produced within the geographical boundary of a country in a particular time period, which is normally a year.

When there is high GDP growth, there is an economic growth of the country, the goods and services produced within the country increases, the unemployment rate decreases as the producers hire more workers to meet the excess demand and the inflation rate also increases because there is a higher demand than before which makes the price of those goods and services to increase.

To summarize,

GDP growth is inversely proportional to decline or economic decline. This means higher the GDP growth, lower the decline.

GDP growth is inversely proportional to unemployment. This means higher the GDP growth, lower the unemployment rate.

GDP growth is directly proportional to inflation rate. This means that higher the GDP growth, higher the inflation rate.