Recessions and the electoral blame game

Assignment Help Business Economics
Reference no: EM13996829

Recessions and the Electoral Blame Game

As a result of the recession that began in 2007 and continued into 2009, the unemployment rate rose to as high as 10 percent. By the time of the congressional elections of 2010, the economic recovery was under way, but the unemployment rate was still around 9.6 percent. The Republicans saw this as evidence that the Democrats’ economic policies had failed to deal with the lasting effects of the recession. They, in fact, blamed the lasting high unemployment on the policies of the Democrats and President Barack Obama. The Democrats and President Obama pointed to increasing real gross domestic product (GDP) as evidence that the economy was fundamentally sound and was no longer in a recession. Both parties could not be right—either the economy had entered a period of expansion and the policies of the Democrats were working and they should get credit for it (whether deserved or not), or had not and had in fact contributed to continuing high unemployment.

(A) Why do you suppose that one party can at the same time be blamed for not really ending a recession and itself take credit for ending a recession?

Reference no: EM13996829

Questions Cloud

Exchange rate to rise-ceteris paribus : Say that the exchange rate between the U.S. dollar and the Melnik bop is expressed in terms of bops per dollar. All of the following will cause this exchange rate to rise, ceteris paribus, except for:
Demand curve-what is profit-maximizing level of output : A monopoly faces an inverse demand curve, p(y) = 100 - 2y, and has constant marginal costs of 20. What is its profit-maximizing level of output? What is the socially optimal price of this firm? What is the deadweight loss due to the monopolistic beha..
What level of output will maximize peters profits : Peter Morgan sells pigeon pies from a pushcart in Central Park. Morgan is the only supplier of this delicacy in Central Park. His costs are zero due to the abundant supplies of raw materials available in the park. What level of output will maximize P..
Islam and supply-side economics : Supply-side economics has a long history, dating back to at least the fourteenth century. The greatest of medieval historians, Abu Zayd Abd-ar-Rahman Ibn Khaldun (1332–1406), included in his book, The Muqaddimah (1377), an Islamic view of supply-side..
Recessions and the electoral blame game : As a result of the recession that began in 2007 and continued into 2009, the unemployment rate rose to as high as 10 percent. By the time of the congressional elections of 2010, the economic recovery was under way, but the unemployment rate was still..
What will happen to the long-run aggregate supply curve : In 2010, the Obama administration implemented more restrictive regulation of oil exploration and production in the areas just offshore of the United States. The cost of drilling offshore oil wells is likely to increase significantly as a result. What..
Most important for the public to know about each branch : There are three primary branches of government in the United States. For each of the three branches, describe how members of the branch are determined and the general functions and powers of the branch. What do you believe is most important for the p..
Colleges allocated seats in courses on the basis of price : Would it be fair if colleges allocated seats in courses on the basis of price? In other words, let students bid for available seats in classes, rather than using a first-come, first-served system based on some sort of administrative procedure. Explai..
Unexpected frost weather in the sunflower area : Suppose there is unexpected frost weather in the sunflower area and government decided to purchase some sunflower. How will the new supply-demand graph for sunflower look like? What will happen to the price and the quantity sold?

Reviews

Write a Review

Business Economics Questions & Answers

  What is his quantity supplied

One thousand Patients called up Dr. Kalikorn and asked him to perform a new surgical procedure. Dr. Kalikorn booked all 1,000 and told them that he could perform twice as many procedures, if only he had more patients. What is his quantity supplied?

  Compute the inflation rate for the entire ten-year period

After that he expects a further increase of 25% in the subsequent four years, so that prices at the end of ten years will have increased to 180% of the present level. Compute the inflation rate, f, for the entire ten-year period.

  Elucidate how each of the following would affect the demand

Elucidate how each of the following would affect the demand schedule you derived.

  Calculate mikes optimal amount of income and leisure

Let Y represent income and L represent hours of leisure. Mike's utility for income and leisure is U(Y,L) = Y x L so that marginal utility of leisure = Y and the marginal utility of income = L. Total hours available for leisure and work in any given w..

  Is a high concentration ratio evidence that an industry

Is this enough information to classify the industry as an oligopoly? Is a high concentration ratio evidence that an industry is not competitive?

  Minimax regret rule and equal probability rule

Under what conditions should a manager use each of the following rules/options for pricing decisions: (a) Maximax Rule; (b) Maximin Rule; (c) Minimax Regret Rule; and (d) Equal Probability Rule? Also address the potential pitfalls of using each rule.

  Elucidate the effective rate of protection on the process

We do, however, have free trade in corn, which is fermented and distilled to make ethanol, and accounts for approximately 55% of the cost. Elucidate the effective rate of protection on the process of turning corn into ethanol.

  Central bank changes the reserve requirement ratio

What happens to each of these values if the central bank changes the reserve requirement ratio to 3%.

  Based on the department of justice guideline

Assume firm A wants to merge with firm B for $7.5 billion. Before the potential merger, the market for the good produced by firm A and B consisted of five firms. The market was highly concentrated, with a Herfindahl-Hirschman index of 2,621. Firm B’s..

  Sell as large a quantity of their potato crop

Idaho farmers can sell as large a quantity of their potato crop as they which,

  Compare expected values and risk associated with each option

Assume the operations manager at the company you own prefers to put in low effort rather than high effort. In order the manager to exert high effort, his expected financial gain must be at least $60,000 higher than if he puts in low effort. Discuss t..

  Why james would rather have sure instead of a gamble

Putting utility on the y-axis and wealth on the x-axis, use a graph to show why James would rather have $100 for sure instead of a gamble where he gets $20 20% of the time and $120 the rest of the time.

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd