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MACROECONOMICS REPLY POST
BELOW WILL BE THE MAIN COURSE DISCUSSION AND THE STUDENTS REPLY. YOU NEED TO REPLY TO THE STUDENTS POST AND IT NEEDS TO BE 1-2 PARAGRAPHS.
MAIN POST - Do some research and find the fiscal policy approach used by the U.S., China, Germany, and the U.K. from 2008 until present. What approach did each of these countries take, and what was the change in GDP for each one of these economies from 2008 until present? Which tools do you feel were successful and why?
STUDENTS REPLY THAT YOU NEED TO REPLY TO - The United States went through a huge credit issue in the past decade. This was caused by the housing market crashing, and also increasing oil/gas prices. When this all happened, the government released a "bailout." This still is causing problems for people today when trying to obtain credit. Our economic issues have improved slightly and our GDP did grow because of the previous issues. Germany fought the past decade by trying to use a fiscal stimulus approach. Their economy was crumbling. They ended up using a large some of money to try and change things and reduce taxes and health benefits.WIth this their GDP has continued to steadily climb over the years. China tried to cut taxes and make it easier for their citizens to get credit. After implementing this fiscal approach, their GDP rose again but since this it steadily begins to fall. The United Kingdom has used a similar fiscal approach to the U.S. They did a bail out and attempted to cut their interest rates. Even though they took a similair approach as the U.S., it did not end up working out well in the end for them. Their GDP has fallen and they have been suffering for quite some time now, whether it be economic growth or even any type of production.
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