Economic forces affect decisions made in personal business activities, as well as within business organizations, government entities, and nonprofit organizations. Changes in economic conditions affect and are affected by supply and demand, strength of buying power and the willingness to spend, and the intensity of competitive efforts. These changes propel fluctuations in the overall state of the economy and influence courses of action and the timeliness of actions. Nonprofit organizations, for example, may find that fund-raising efforts fueled by personal contributions are more successful during periods of economic prosperity. A first-time home buyer may be more inclined to purchase a house when interest rates are low and prices are likely to increase in future months. Since decision makers cannot control economic forces, a concerted effort should be made to monitor such forces. All business executives know that it is important to gain some idea of what...