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Essay / Current macroeconomic situation in the United States
The United States is the world's largest economy and has experienced several tribulations in the recent past following the global recession of 2008. Despite these recent challenges, policymakers and Financial experts expect the country to experience solid economic growth. In fact, financial analysts have said that the U.S. economy will be characterized by increased consumer spending, increased business investment, a reduction in the unemployment rate, and a reduction in government budget cuts. Some analysts also said the country's economy would strengthen in 2014 by an average of 2.7 percent or more. However, these predictions can only be understood through an analysis of the current macroeconomic situation in the United States. Current Macroeconomic Situation: According to Payne (2014), US economic growth will strengthen this year with an average of 2.7 percent due to various factors. factors, including strengthening consumer and business confidence. The other factor that will contribute to strengthening the country's economic growth is Europe's emergence from its long slumber, a trend that will improve prospects for sales abroad. However, this economic growth will be largely limited by the continued reduction of the public deficit. Compared to the first half of 2013, economic conditions are already better as growth increased by an average of 3.7 percent in the second half of 2013. Therefore, expectations for increased economic growth in the United States are increasing as people believe this will be the best year since the tribulations of the 2008 global recession. Overall, U.S. GDP growth will become stronger in 2014, averaging at least 2.7 percent because... at middle of paper ... it's the same thing. The Federal Open Market Committee should base its employment policy on the outlook for the level of employment or unemployment through a substantial improvement in the labor market outlook. In conclusion, the current macroeconomic situation in the United States is characterized by moderate growth due to better economic conditions that were brought about by the events of 2013. The country has experienced moderate economic growth since the global recession of 2008, but has showed real signs of dynamism. Even though the country is not concerned about recession or inflation, the unemployment rate remains a major challenge despite improving consumer and business confidence. Accordingly, the Federal Open Market Committee or the Federal Reserve System must adopt fiscal and monetary policy initiatives that help solve the unemployment problem and promote high economic growth..