Verified Document

U.S. Economy The USA Economy Essay

U.S. Economy

The USA economy

Economic recession takes place when there is a fall in demand by consumers due to slow down in money circulation making consumers to have less money in their hands. When there is a slow growth, most businesses fail to expand making them not to hire new workers. In this case, recession is said to be underway although, it only affects people when layoffs begin. The U. S has become a victim to economic recession and most experts have given their views regarding the situation. For this case, the Government of the U.S. needs to know that they are the key players for stopping recession and reversing the economy back to the growth path. The government should also focus on how to increase money circulation, the debt level of per capita and any other causes of recession.

According to Raymond, the U.S. president should lower the interest rates to enable business and consumers to get back on their feet, an argument that is absolutely plausible. This is because inability to access credit should never be barriers for an enthusiastic entrepreneur to starting a business, therefore reducing interest rates will fortunately stop this. I therefore believe that, the U.S. president should have his hands to steer this aspect by balancing interest rates as well as inflation. When inflation increases, interest rates should also increase to discourage borrowing.

The other significant argument is by Kathy Lee that the U.S. president should raise taxes while reduce government spending. The U.S. government should increase tax to encourage the citizens of U.S. with enough money from businesses to pay tax which will increase circulation of money and spur the economy upwards fro the god of all. . On the other hand, I also agree with Patricia advice regarding the Federal Reserve. It is true that government should encourage selling of bonds and raising the requirement of the bank reserve since it will improve the stability of many banks to customers' deposits yet leaving the interest rates intact so that people can still invest in the bonds and be left with money in their hands a situation that would be nullified if the bonds are issued yet interest are raised.

Cite this Document:
Copy Bibliography Citation

Related Documents

U.S. Economy Issue Outsourcing the
Words: 1287 Length: 5 Document Type: Term Paper

For example it reduces costs for IT and other services by as much as 60%, while keeping United States companies competitive in global markets, benefiting both workers and shareholders (Manila Bulletin, 2004). In addition, it strengthens demand abroad for the export of United States supplied computers, software, legal, financial, and marketing services & telecommunications hardware (Manila Bulletin, 2004). It returns profits to the U.S. from United States owned associate overseas,

U.S. Economy Why Outsourcing Helps
Words: 2333 Length: 5 Document Type: Term Paper

Dobb's support of stringent immigration reforms however gains him points with the far right of the Republican Party. Lou Dobbs is best known however for this crusade to save the middle class of America by fighting outsourcing and the reduction in wages of American workers. Making American Manufacturing Lean: A Perspective Looking first at the progression of outsourcing from low-skill and low wage jobs to intermediate and finally high-skill jobs including

Avoiding Overpopulation in the U.S. the United
Words: 1793 Length: 7 Document Type: Term Paper

Avoiding Overpopulation in the U.S. The United States has managed to achieve a stable reproductive rate. That is, as of 1999, our fertility rate is 2.0, meaning that for each two adults we are having two children. (Carter, 1999) This has no doubt been accomplished because we have learned about how to apply population control within our families. However, it does not mean the United States will never have any problems

U.S. Economy Evaluating the Current State of
Words: 1712 Length: 5 Document Type: Essay

U.S. Economy Evaluating the current state of the United States economy Although many are of the opinion that the recession that the globe was forced into in 2008 is finally uplifting and signs of economic revival can be witnessed. The resulting high levels of debt and unemployment from the recession had dragged many countries, especially the United States in to a state of economic turmoil. In order to reverse the effect

U.S. Balance of Payments
Words: 2725 Length: 10 Document Type: Term Paper

U.S. Balance of Payments The United States balance of payments is an overall statement of all economic transactions between the U.S. And all other countries over a year's times (Oxford, 2002). A table of the balance of payments shows the amount of money received from other parts of the world and the amount spent abroad. These transactions are measured in terms of receipts and payments. In the U.S., a receipt represents money

U.S. Economy Delivers Best Jobs
Words: 1945 Length: 7 Document Type: Research Proposal

S., as they now have the guarantee that the U.S. market is ready to receive and purchase their products. This is especially important for developing economies that grow at a fast pace, but which also need the necessary markets on which to develop and sell their products. One such example is China, which is an enormous producer, but one that cannot resist unless there are powerful markets on which its products

Sign Up for Unlimited Study Help

Our semester plans gives you unlimited, unrestricted access to our entire library of resources —writing tools, guides, example essays, tutorials, class notes, and more.

Get Started Now