macroeconomic problem-developing recession with rising unemployment

January 8th, 2009
  • macroeconomic problem-developing recesion with rising unemployment


  • how come i cannot gate answer for my question?


  • Can you tell us what kind of answer do you want?


  • my question is. the us has experienced decrease in real output for one quarter and leading indicators point to continued contraction in the current quarter.the unemployment rate last month was 5.8% is expected to rise 6% in the current quarter. the cpi incresased at 1.3% anual rate during the last qirter. a)make a detail recommendation for a change in the tool of fiscal and monetary policy to deal with this macroeconomic problem. b)include in your explanation how each change in a fiscal or monetary tool should achieve its desired effect by tracing its impact on the component of aggregate expenditure.pleae send me the answer as soon as possible. thanks


  • this is my question,


  • The USA and most other countries have excessive debt. Thanks to believable lies, to same second comunications and powerful computer programs, this debt is maanaged quite skillfuly, but instability is increasing and at some point days or years in the future appropriate actions will be too costly and collapse will occur. In worst case senarios recovery could take more than a decade, and conditions may be grim, with hours cut, pay rates reduced, perks cancelled, marginal employees fired or laid off. This will cause a rapid increase in loan defaults and payments being made late. New ventures will be put on hold and downsizing will be all but universal. Some governments may throw money at the problems, causing rapid inflation, which will reduce the buying power of saving. Neil







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