U Decide Project

You Decide

Henry R. Wieczorek Jr

Keller Graduate School Online

GM545 Business Economics

Prof. Francisco De Cossio

After reviewing the comments from my colleagues I have the following comments. Raymond Burke, Economic Consultant makes a strong point in regards to lowering interest rates to help businesses and consumers get back on their feet. This would help increase business spending and could spur hiring since businesses would be able to borrow money. I do not agree with Kathy Lee, Former Economic Advisor to the President in regards to raising taxes. People are already struggling enough due to the recession and lack of available jobs. We do not need to take money from the public that they do not have. I feel there are alternative ways to help stimulate the economy without placing the burden on the public. Kathy also would like to see reduced government spending. I personally would like to see increased government spending in this time of need. The government can funnel funds into the economy which helps businesses and consumers with jobs. The increase in government spending would help lower the unemployment rate because more laborers would be needed for the increased product demand. Patricia Lopez, Consultant to the FED would like to raise the bank reserve requirement. I agree that it would allow banks to be more stable since they are holding onto a larger percentage of deposits. In turn this raise in the reserve requirement would cause banks to be able to lend less money. In this struggling economy there are businesses that could use loans to keep them functioning and from reducing their workforce. Allison Tanney, Economic Consultant says we need both expansionary fiscal policy and expansionary monetary policy. I agree with this strongly and feel this is necessary to recover from this recession. I also agree with her comments on increased government spending and lowering taxes. As Senior...