Eco 372 Week 4 Basic Economics Paper
Confirming Pages
Understanding
ECONOMICS and How It
AFFECTS
Business
2
LEARNING
goals
A f t e r y o u h a v e r e a d a n d s t u d i e d t h i s c h a p t e r, y o u s h o u l d b e a b l e t o
1
2
3
4
Explain basic economics.
5
Describe the economic system of the United States, including the significance of key economic indicators
(especially GDP), productivity, and the business cycle.
6
Contrast fiscal policy and monetary policy, and explain how each affects the economy.
Explain what capitalism is and how free markets work.
Compare socialism and communism. Analyze the trend toward mixed economies. 28
nic2459x_ch02_028-057.indd 28
9/8/11 9:24 AM
Confirming Pages
w w w. j. b rad fo rd-de l o n g . n e t/ ec o no m i s t s /k …show more content…
John that Presidents Bush and Obama
Maynard Keynes (pronounced Canes) was one of the econo- had in mind when they mists who had a great influence on U.S. economic policy. It attempted to stimulate was Keynes who advocated stabilizing the economy by the the economy by spenduse of fiscal policy (policy related to taxes and spending). He ing money. While there believed that if the economy was in a recession, the govern- are signs that the econment should increase spending (e.g., on infrastructure— omy is now on the road roads, bridges, schools, and utilities) and cut taxes in order to to recovery, the $787 bilstimulate the economy. The goal of cutting taxes would be to lion stimulus package increase consumer spending to revive businesses. Conversely, did not lead to the job when the economy seems to be growing too fast and inflation growth expected, and unemployment stayed about 9 percent.
The economic environment is critical to the success
Understanding
ECONOMICS and How It
AFFECTS
Business
2
LEARNING
goals
A f t e r y o u h a v e r e a d a n d s t u d i e d t h i s c h a p t e r, y o u s h o u l d b e a b l e t o
1
2
3
4
Explain basic economics.
5
Describe the economic system of the United States, including the significance of key economic indicators
(especially GDP), productivity, and the business cycle.
6
Contrast fiscal policy and monetary policy, and explain how each affects the economy.
Explain what capitalism is and how free markets work.
Compare socialism and communism. Analyze the trend toward mixed economies. 28
nic2459x_ch02_028-057.indd 28
9/8/11 9:24 AM
Confirming Pages
w w w. j. b rad fo rd-de l o n g . n e t/ ec o no m i s t s /k …show more content…
John that Presidents Bush and Obama
Maynard Keynes (pronounced Canes) was one of the econo- had in mind when they mists who had a great influence on U.S. economic policy. It attempted to stimulate was Keynes who advocated stabilizing the economy by the the economy by spenduse of fiscal policy (policy related to taxes and spending). He ing money. While there believed that if the economy was in a recession, the govern- are signs that the econment should increase spending (e.g., on infrastructure— omy is now on the road roads, bridges, schools, and utilities) and cut taxes in order to to recovery, the $787 bilstimulate the economy. The goal of cutting taxes would be to lion stimulus package increase consumer spending to revive businesses. Conversely, did not lead to the job when the economy seems to be growing too fast and inflation growth expected, and unemployment stayed about 9 percent.
The economic environment is critical to the success