Is The United States Economy Doing Well Since The Great Recession? Essay

From what is supposedly being shown in papers and on the news the U.S. economy is currently concerned about unemployment, caused by the recession. This “current macroeconomic situation” is pardoning my language freaking a lot of individuals out, because some have no idea of how it is going to get better. The news/media is not painting us such a pretty picture of it, by calling it “this decade’s depression”. The unemployment rate is at 8.2% as of July 2012, whereas the average in 1948 was at 5.6%.

The news mediums, television, radio, print, or social media give information 24-hours a day regarding the economy. Individuals are not so sure about the reports issued on almost an hourly basis that are stating the economy of United States is improving. Many Americans are still without jobs, and do not believe their income can continue to support their families. The cost of purchasing a home is going up in many areas across the country, which is good for the market, but can be bad for the first time homebuyer. Unemployment, expectations, consumer income, interest rates are economic factors that influence individuals behavior and the United States fiscal policy.

Is the U.S. economy healthy today? What is a healthy level of inflation and unemployment and is the United States there today? Should the Federal Reserve prioritize short term victories or the health of the economy long term? Why and why not?

The Great Recession of the 2000’s is something many of us have been affected by in some way or form. From the real estate bubble to the acts of major firms on Wall Street-there were numerous factors that lead to this recession. The United States Government is to blame in large for what happened to the economy in the early part of the 2000’s. Major firms such as Merrill Lynch, Goldman Sachs, and AIG tried to used the failing economy as a huge paycheck to their CEO’s, payouts made partially by the US Government’s bailouts. The government should have allocated money to the people who were struggling, not continue to feed the “hand that bit them.”

The Bureau of Labor Statistics has released its report for July 2016, and the numbers have some people speculating that a real recovery may be at hand. Wages have been rising consistently for the past few months; the average hourly wage for July was $25.69. The unemployment rate was 4.9 percent for July, which was the same as June but 0.2 percent higher than May. Jobs are increasing; the July change was 255,000, which was a bit lower than the 292,000 reported for June but significantly greater than the pitiful 24,000 reported for May. At first glance, it appears that the American economy is showing signs of rebounding at an accelerated rate — but is that assessment accurate?

What is the state of the US economy? Has a cloud fallen on the US and harder economic times coming? Is continued decline require a cautious posture? “It's hard to decipher the state of the economy from headlines.” Although the economy is not equal to pre-recession times which was more than six years ago, the “jobs lost to the Great Recession have been replaced. Unemployment is down. The stock market has generally prospered.” What role does consumer

"[…] the economy is doing great […] by almost every economic measure, America is better off than when I came here at the beginning of my presidency" - President Obama, 2016.

The US economy has recovered considerably from the great financial crisis of 2008. We are currently in the seventh year of expansion, and the overall performance of the economy has been satisfactory. Most economic indicators have improved dramatically, and some of them are at the best level since then. A significant recovery in home prices, GDP, labor market, stock markets, auto sales, and consumer spending have fostered the economic growth and restored the confidence of market participants.

The American economy has suffered the deepest and most protracted recession since the Great Depression. The financial crisis that began in the fall of 2008 had enduring effects on economic performance. In the first quarter of 2009, real gross domestic product (real GDP) fell by 6.4 percent. Real GDP fell for four straight quarters, from third quarter 2008 through second quarter 2009. The good news is that we have enjoyed more than three years of uninterrupted economic growth (Real GDP) and falling unemployment since the recession ended in June 2009. Economic growth (real GDP) has averaged less than 2.1% since the recovery began July 2009 and is have slowed to less than 1% in the

The Great Recession period was between the end of 2007 and the middle of 2009, which makes it the lengthiest recession since World War II. The gross domestic product (GDP) fell 4.3% from its peak in the fourth quarter of 2007 to its trough in the second quarter of 2009, the largest decline in the post-war period. The rate for unemployment was 5 % at the end of 2007 and increased to 9.5% in the middle of 2009 and reached 10 % in October 2009.

The United States economy has been in different stages of the business cycle. From being in depression to recovery to our peak and so on, the economy is always changing. Today, I believe that the U.S. is still in a recovery from 2008. The reasons are from everything that I have researched. We are not in a depression because jobs are easier to get and we have money. We are not in a recession because our economy is improving, not the opposite. Also, we aren’t at a peak because we can still improve the rates of unemployment and everything else in our economy. Our economy is growing everyday and we are always improving.

The US economy is regarded as the largest and the most diversified economy in the world. The economy of the US plays a significant role in the global economy. It means the state of the US economy can provide an indication of the current situation of the global economy. In macroeconomics, the evaluation of the present state of US economy considers many economic indicators in the country. The paper evaluates the present situation of the US economy based on three macroeconomic goals that comprise economic expansion, permanent employment and cost constancy. Furthermore, the evaluation of the present situation of the US economy also considers one alternative measure for the well-being of the economy.

The definition of macroeconomics is, “The study of the behavior of the whole aggregate economies or economic systems instead of the behavior of individuals, individual firms, or markets.” Macroeconomics focuses on areas such as, unemployment, the gross national product, inflation or deflation, and covers the role of monetary and fiscal policies and the determination of consumption and investment levels. It seems that people in the US are on the fence about whether things are better or worse than the market crash in 2008. A publication called people-press.org wrote an article that states, “Five years after the U.S. economy faced its most serious crisis since the Great Depression, a majority of Americans (63%) say the nation’s economic system is no more secure today than it was before the 2008 market crash. Just a third (33%) thinks the system is more secure now than it was then.”(people-press.org, 2014)

The “current macroeconomic situation” in the U.S. has improved greatly over the past few years. With the stock market at an all-time high, with data trends of unemployment trending down from 5.4 percent in April, 5.5 percent in May and now at an all-time low of 5.3 percent in July (U.S. Bureau of Labor Statistics, 2015). Last quarter economic growth was at 5 percent, relative mild consumer price-inflation, and the bonanza of cheap gas, there is increased optimism about the U.S. economy (Chafuen, A, 2015). Yet most of America is still concerned about unemployment, inflation and recession. Per CNN, only 42% of American’s thought the economy was in good shape. That is not even half of America but the numbers are the best they have been in

Three main goals of today’s economy are stable prices, full employment, and economic growth. Stable prices occur when average prices repeat over time and rise at a very low and predictable rate this is called inflation. If inflation is kept low, prices will stay the same. If a hurricane in Mississippi destroyed cotton this would cause the lead to higher prices. When you have higher prices for certain goods this can make inflationary prices in the economy. Full employment is the second main goal in the economy. You will never have full employment at one time. People are always quitting or being terminated from a job every day. The unemployment rate is a percentage of labor forces that is out of work and four percent or less is acknowledged as full employment. The unemployment rates moves from region to region and different states. For example if one states rate is higher then the national average this would cause certain companies to move out of that state. The third economic goal is economic growth. Economic growth is an increase in the amount of goods and services produced per head of the population over a period of time. It is also measured by GDP (gross domestic product), which