StudentShare
Contact Us
Sign In / Sign Up for FREE
Search
Go to advanced search...

Article Summary for MacroEconomics 4 - Essay Example

Cite this document
Summary
(Your Name) (Your (Course) Article Summary According to Isidore, the steps taken by president Obama to rectify the US job market has been successful to a certain extend but has failed to curtail the entire unemployment problem created by the recent recession (Isidore 2011)…
Download full paper File format: .doc, available for editing
GRAB THE BEST PAPER97.3% of users find it useful
Article Summary for MacroEconomics 4
Read Text Preview

Extract of sample "Article Summary for MacroEconomics 4"

Download file to see previous pages

The money provided by the package was almost over and the state’s police, firefighters and teachers were going to lose their jobs. President Obama is once again going to appear before the Congress for another $300 million to create jobs and help the economy. Three rounds of stimulus aid have already been provided by president Obama. The round one was openly and fully criticized by the republicans, in round one $200 billion were used to support tax cuts, $300 billion were used or the support of those who did not have jobs and $300 billion were used for direct investment in different projects.

The spending on various projects contributed the most in creating jobs. The round two mainly contributed to the bailout of the auto industry of United States and helped a great deal in creating jobs. The money spend on bailout of auto industry was recovered and returned by the auto manufacturers. The step of helping the auto industry was the most successful one as this helped the auto manufacturers in solving their financial issues, this step alone helped in saving more than 1.5 million jobs.

Before the bailout program, the auto manufacturers were in very bad shape and were on the verge of being forced out of the market. The bailout of auto manufacturers has a long term positive impact, these firms are currently doing very well and even employing more employees and posting higher profits. The use of stimulus money in other arenas had very little impact and an overall view suggests that stimulus money invested in other sectors was wasted. The round three of stimulus help was quite effective as huge amount of jobs were created because people had money to spend and due to increase in demand for goods and services there was increase in demand for more workers.

More than $858 billion was spent as a part of the stimulus package; money was spent on unemployment assistance provided to those who were out of jobs. During summer, the economic growth and employment growth once again stopped and jobs created in the private sector decreased. It is even estimated that president Obama will continue providing unemployment assistance to employees. In my opinion, the president could have dealt with the stimulus package in different ways. The stimulus money was used in certain areas that did not turned out to be quite productive.

For example: the tax subsidy, the unemployment benefit was of no great help in creating jobs. Whereas certain developments made with the stimulus money were quite helpful in decreasing unemployment in US. For example: investment in projects and bailout of the auto industry. Instead of giving money directly to the unemployed individuals and providing them unemployment benefits, stimulus money could have used to finance and bailout other sectors of the economy. This would have helped businesses with their liquidity issues and they would have saved themselves from being bankrupt.

If businesses would not have closed and money would have been used to help these businesses, employment would have increased. Thus the unemployment assistance would not have been important and neither the tax cuts. The businesses that would have been saved with the help of stimulus money would have made money and they would have paid taxes. Taxes are revenue for the government and are necessary for the development of the economy. The taxes

...Download file to see next pages Read More
Cite this document
  • APA
  • MLA
  • CHICAGO
(“Article Summary for MacroEconomics 4 Essay Example | Topics and Well Written Essays - 750 words”, n.d.)
Retrieved from https://studentshare.org/macro-microeconomics/1439430-article-summary-for-macroeconomics
(Article Summary for MacroEconomics 4 Essay Example | Topics and Well Written Essays - 750 Words)
https://studentshare.org/macro-microeconomics/1439430-article-summary-for-macroeconomics.
“Article Summary for MacroEconomics 4 Essay Example | Topics and Well Written Essays - 750 Words”, n.d. https://studentshare.org/macro-microeconomics/1439430-article-summary-for-macroeconomics.
  • Cited: 0 times

CHECK THESE SAMPLES OF Article Summary for MacroEconomics 4

Microeconomics: Cost Analysis

Author outlines that though the overall output is decreasing in mining industry due to different factors however, the decline in the… Author also argues that the overall cost of finding and operating new mines especially for copper has increased thus making it relatively difficult for the established miners to continue to The article is about how mining sector is responding to the changes in the supply and demand dynamics and the impact of same on global prices....
1 Pages (250 words) Article

Summary of Article on Immigration

Nearly 4% of the population of the United States is made-up of individuals that are here illegally.... They come to work and often hold jobs that require long hours and low wages.... Many people that are upset about illegal… They feel that too many immigrants, especially illegal immigrants, make America less American. This article seems to refute this feeling....
1 Pages (250 words) Article

Wall Street Slides on Concerns about Iraq by Angela Moon

The S&P 500 was, for the first time… ince early April, down for three succeeding sessions while the Dow Jones Industrial average encountered a loss of more than 100 units for the second day in a row (Moon1). A few hours after Kurdish forces took control of the oil core of KirKuk, news reporters asked President summary of an article U....
1 Pages (250 words) Article

Current event on macroeconomics

According to the article that was written by John Hood, North Calorina became the first state to end the extended benefits program that was focused at providing assistance to the individuals who have no jobs.... On their part, the state legislature and the governor adopted the… As the result of ending the extended benefits program, there were prolonged protests by the residents who were opposed to that move....
2 Pages (500 words) Article

Current Event Summary

Principles of macroeconomics.... The dollar now trades against several currencies at a four-year Current Event summary The article on ‘Buoyant Dollar recovers its Luster, Underlining Rebound in U.... The article on ‘Buoyant Dollar recovers its Luster, Underlining Rebound in U....
2 Pages (500 words) Article

Basic Marketing Planning Approach

This book offers an integrated learning and teaching solution for showcasing managerial orientation, as well as the four Ps framework, with a strategy planning focal point (Perreault, Cannon and McCarthy 3).... The unifying focus of this book is on how to formulate marketing… Some of the chapters include topics such as marketing value to consumers firms and society, marketing strategy planning, evaluating opportunities in the changing market environment, focusing Basic Marketing: A Marketing Strategy Planning Approach This book offers an integrated learning and teaching solutionfor showcasing managerial orientation, as well as the four Ps framework, with a strategy planning focal point (Perreault, Cannon and McCarthy 3)....
1 Pages (250 words) Article

High Public Debt, Stagnation, Deflation and Unemployment

The steps were aimed at tackling problems within the economy such as deflation credit traps,… According to the policymakers, several policy paradigms that were adopted to deal with the macroeconomic problems such as bond financing of budget deficits, fiscal and wage austerity, asset purchases by central macroeconomics Article Topic: High Public Debt, Stagnation, Deflation and Unemployment: Policy Errors and a Way Forward Richard WoodLink: http://www....
1 Pages (250 words) Article

Summary of the Article Ultimate Ticket by Jonathon Gatehouse

From the paper "summary of the Article Ultimate Ticket by Jonathon Gatehouse" it is clear that without a doubt, Mixed Martial Arts has gained increased popularity in the globe in recent years compared to the past.... It has become a recognized sport, attracting thousands of viewers....
1 Pages (250 words) Article
sponsored ads
We use cookies to create the best experience for you. Keep on browsing if you are OK with that, or find out how to manage cookies.
Contact Us