The Us Economy

The US Economy

Today as of April 14, 2006 the current status of the US market is at inflation. The ever changing Business Cycle is constantly rising and declining and affecting everyone in this society and societies all around the world. Many people anticipate the daily news to hear how it is about to cause fluctuations in the prices of their necessities.

In this economy when the nation is going through the different stages of the business cycle the government implies different policies to push the economy at the point and stage it needs to be at. When the economy is going through recession, the government uses the Expansionary Fiscal Policy. Using this policy, the government may increase its spending. Or, alternatively the government could cut personal income taxes allowing citizens more disposable income, which will then lead to more consumption and spending moving the market.

An example of when the government used this policy would be after Sept 11 when the nations