Describe the concept of macroeconomic equilibrium.

Explain why this instrument is essential.
February 11, 2021
Discuss possible new ways to solve difficult challenges that have no single/right/known answe
February 11, 2021

Contemporary economic issues

///Assignment Objectives

Explain concepts of supply and demand

Describe the concept of macroeconomic equilibrium

Discuss how aggregate demand and aggregate supply determine equilibrium price and output in the short-run and long-run.

Describe the concepts and measurement of Gross Domestic Product (GDP), unemployment, and inflation

Explain what is meant by “business cycles” and “economic growth and describe the factors that contribute to each.

Illustrate understanding of the multiplier concept, including how it is computed, its qualifications, and its limitations

Demonstrate understanding of the relevance and impact of macroeconomics and how it impacts politics, the workplace, and people.///

Assignment Description

Weekly tasks or assignments (Individual or Group Projects) will be due by Monday and late submissions will be assigned a late penalty in accordance with the late penalty policy found in the syllabus. NOTE: All submission posting times are based on midnightCentral Time.

Deliverable Length:  800–900 words APA

The financial crisis of 2008 caused macroeconomists to rethink monetary and fiscal policies. Economists, financial experts, and government policy makers are victims of what former Fed chairman Alan Greenspan called a “once in a century credit tsunami”.

Since then, there have been various legislative and policy strategies considered and implemented to ‘fix’ the problems that allowed the crisis. The true question is whether we are headed down the same path, and if the ‘victims’ of the 2008 crisis have done anything to shift the tide. Review this clip, and review your own additional research, then share your thoughts on what caused the financial crisis and whether the United States is going in the right or wrong direction with its current policies. In explaining your position, be sure to include cited research that supports your consideration, recommendations for safeguards going forward, and what role, if any, government should play.

Your discussion should include reflections on both monetary and fiscal policies, clearly noting which caused/remedied the crisis. Make sure you include the following concepts in your analysis:

  • Interest rates
  • The financial services industries (CDOs, CMOs, the stock market, credit flows, money markets, etc.)
  • Tax rebates
  • Stimulus
  • TARP
  • Government debt and deficit
  • Inflation
  • Unemployment
  • Immigration
  • GDP
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