The Economics Behind American Government

836 Words Aug 6th, 2016 4 Pages
Currently, I feel that the United States public does not fully understand the economics behind American Government. I can reassure you that I was not aware of certain situations and outcomes could impact our entire economy. Macroeconomics has broaden my mind on how to efficiently operate a government’s economy, based on scientific theory and data. Expansion and recession will always be prevalent within a government. You cannot have one without the other. A government will learn from mistakes that cause a recession, which in turn will create expansion from learning past mistakes. There is always a way for efficient production and return. A government or company must please the public’s demands in order to create adequate profits and useful resources. I have learned a lot of information in a short time period of 8 weeks. Scarcity, which is always a fundamental problem in the United States Market. It is the seemingly unlimited human wants in our world, which only has limited recourses. Demand is product consumers desire to purchase. Supply represents how much the government’s economy can offer. A government is in economic equilibrium if forces such supply and demand are balanced without any external influences. Input and output refer to how much a money, time, and production is going into an economy as a whole and the results of being completed and if the product is used effectively. They are sets of data, and reveal if production is working efficiently or if…
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