Capital Utilization

Total capacity utilization measures the percentage of total economic output that is being utilized. It is compiled from physical data from trade and government sources, as well as from survey data from the census when physical data is not available. A high rate of total capacity utilization is an indicator of inflation as an economy nears its maximum level of output. Low capacity utilization makes …

Total Capacity Utilization

Total capacity utilization measures the percentage of total economic output that is being utilized. A high rate of total capacity utilization is an indicator of inflation as an economy nears its maximum level of output. Low capacity utilization makes it difficult to stimulate the economy because incentives for increasing production that the government provides are often unable to reach many producers, this is because of the limited number …