Running head : MACROECONOMICS WRITTEN ASSIGNMENTMacro sparings Written Assignment[Author][University]Macroeconomics Written AssignmentMany be saying that the U .S . rescue is reconcilely on the sign demo of experiencing economic respite due to the unbalance that is occurrence on major industries in the merchandise (Iht .com , 2007 . With the pressing see to it of the U .S . economy , it is the role and responsibility of the national governance to post the necessary rootage to address the impeding economic recession in the united States . A balance in providing policies , fiscal and fiscal policy must be secured by the federal official government in to have a sustainable solution for the present instability of the U .S . economyThe instability of the present economy is being attributed to the decline of household s expe ndable income in the trade during the first quarter of 2006 . Many economists said that the decline in quality of household s spendable income was caused by the outsetlyering of wages of working(a) divider by the end of 2005 . The GDP growth ordain of the unite States was down by 0 .6 share , from 5 .2 percent to 4 .6 percent , aft(prenominal) the economic instability starts modify the domestic mart . Due to this hold in disposable income of households or consumers in the market the domestic consumption declined dramatically causing tremendous amount of loses on various industries in the market . Like for instance , the housing industry has been hurt to pecuniary difficulties as the demand of consumers for housing market induce their financial stability hard . In this regard , it would be break away to focus the policies of the federal government on addressing the check disposable income of the households and the low wage dictate of the working naval division i n the marketEconomic Policies for U .S .

Economy RecoveryOne of the possible monetary policies that the federal government could implement would be the lowering of touch on calculate of various financial securities such as mortgages for industries in the market to provide financial support . This lowering of interest incite would concede these industries enough room to stabilize their financial hatful and would serve as the stepping stone of their fast recovery . The low demand of the consumers in the market creates enough pressure for the realize revenue and profitability of various industries to perform badly hint for financial problems of companies in the domestic market . With the lowering of the interest array , compa nies can now borrow much cash that they submit in to restore their accounts and cover the losses that they give start by continuing their operation . The only lieu make of this policy would be a possible in high spirits puffiness rate a few years after increase the interest rate in the market since there will be an increase in the money generate in the economyAs for the fiscal policy of the government , it would be better if they would get in a law that would increase the minimum wage rate of every worker in the United States in to emend the disposable income of...If you want to get a full essay, vow it on our website:
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