Economic Critique Paper

Economic Critique Paper

Learning Team C - Nickolas Keiper, Victus McDaniel, & Michael Walker

ECO/372

October 21, 2014

Dr. Thomas Seel

Economic Critique

We, a group of international reporters have been tasked with describing and critiquing the current state of the U.S. economy. To do this we will examine unemployment, future expectations, consumer income, and interest rates. Furthermore, we will identify existing effects of economic factors on aggregate demand and supply, and identify fiscal policies that are currently being recommended by government leadership. Utilizing this information, we applied the theory of Keynesian and Classical two well-known economist to evaluate current fiscal policies.

Unemployment is defined as people who are jobless, actively seeking work, and available to take a job. The official unemployment rate for the nation is the number of unemployed as a percentage of the labor force. The Bureau of Labor Statistics (BLS) or the U.S. Department of Labor maintains detailed information on particular segments of the population and labor force. In September, the unemployment rate declined by 0.2 percent. The number of un-employed persons decreased by 329,000 to 9.3 million, employment increased by 248,000 in September, and the unemployment rate declined to 5.9 percent.

We all agree expectations are higher now than ever before. However, with the current state of unemployment, high household debt, and a flat Gross Domestic Product (GDP), the economy is flirting with another recession. Despite government mandated policies the economy has stalled and will remain here for at least two more years. The economy must continue to balance trade of imports and exports globally to maximize growth. More emphasis must be placed on exporting of U.S. goods which would create more jobs and foster growth. If the U.S. wants to remain the “Superpower” of the world, then we must take the steps necessary now to be better at entrepreneurship, innovative,...