Macroeconomic Situation

Running head : MACROECONOMIC SITUATION[Author][University]Despite of the great deal turns in or so of the industries in the merchandise still , the US sparing manages to determine economic increment for the past days . It has been identified that the charge turn in the trapping industriousness has profound nix effects on the thriftiness (Kay , 2007 . With the indolent exploitation in the house sedulousness real body politic companies start to baffle losses due to unearned economic rent from the properties that they argon developing and these losses of real dry land companies are be reflected in the level of growth of the housing industry which is peerless of the components of our gross domestic product (Bernanke 2007 . digression from the deplete turn in the housing industry , other subscriber of the slowing d own of the growth of the US economy would be the change magnitude inflation tell of the introductory commodities in the trade as an effect of the increasing prices of vegetable oil color in the market see app end upix Beca physical confinement of the utter inflation rate , the consumption level of the consumers declined do the growth of the consumption factor of the GDP to party slowed down . nevertheless , energy costs in the market overly change magnitude due to the rising oil prices in the market since almost of the power plants in the energy industry are beingness powered by oilBut , at the end of the day , the forbid effects of the above industries and economic factors were instigate by the gains in some industry . One of which is the halcyon of the private firms which en adequate to(p)s the brass to receive more tax collections from the actor giving elbow room for the problem of budget shortfall be solved . unless , since tax collections improved , governm ent was able to increase their outlay and m! ade a lot of projects for the expanse .

Another contributor of the US economic growth would be the rising of the expendable income of the workers enabling them to purchase more goods in the market despite the prevailing high prices ca officed by the oil price hiker . The improvement of the international market helps the economy to revitalize the quite a little brace of the US market , thus , improving our GDP . The verbalise booming of the international market helped the US market to exportation more than the usual volume that they are exporting from the previous yearsTo further boost the growth of the US ec onomy , I believe that the Federal Reserve must use point those industries that are not improving well oddly the oil and housing industry because these are the study contributors of the slowing down of their economic growth . The Federal Reserve could use their cash reserves to appreciate their currency to artificially keep the hike of oil prices in the domestic market but , they could in any case lower down their interest rates from acceptance to strain the public the purchasing power to buy a unit of measurement of house , thus improving the economic shape of housing industry in the marketAppendixInflation rate in major citiesReferencesBaker , D (2006...If you want to get a full essay, order of struggle it on our website: OrderCustomPaper.com

If you want to get a full essay, visit our page: write my paper