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NET WORTH: The difference between a firm's assets and liabilities, which is the value of a company's assets after deducting liabilities. With assets being what a company owns and liabilities what a company owes, net worth can be thought of as what the company owes to the owners. Net worth is also a measure of wealth.

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FINANCIAL MARKETS

Markets that exchange financial instruments, or the legal claims to the ownership of physical assets. All four sectors--household, business, government, and foreign operate on both the demand and supply sides of financial markets. The household sector is generally a net buyer of legal claims as it saves a portion of income. The business and government sector tend to be net sellers as they borrow the funds used to pay for expenditures. The study of macroeconomics is concerned with how the flow of income through financial markets affects short-run business-cycle instability and long-run economic growth. The financial markets are one of three primary sets of macroeconomic markets. The other two are product markets and resource markets.

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Today, you are likely to spend a great deal of time looking for a downtown retail store seeking to buy either arch supports for your shoes or an AC adapter that works with your MPG player. Be on the lookout for telephone calls from former employers.
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Okun's Law posits that the unemployment rate increases by 1% for every 2% gap between real GDP and full-employment real GDP.
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