Macroeconomic Term Paper Topics

Macroeconomic Term Paper Topics-81
Fiscal policy, which involves government spending and taxes, is determined by a nation’s legislative body.For the United States, this is the Congress and the executive branch, which originates the federal budget.One person who sets out to study the lake might focus on specific topics: certain kinds of algae or plant life; the characteristics of particular fish or snails; or the trees surrounding the lake.

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In economics, the micro decisions of individual businesses are influenced by whether the macroeconomy is healthy; for example, firms will be more likely to hire workers if the overall economy is growing.

In turn, the performance of the macroeconomy ultimately depends on the microeconomic decisions made by individual households and businesses.

The microeconomic perspective focuses on parts of the economy: individuals, firms, and industries.

The macroeconomic perspective looks at the economy as a whole, focusing on goals like growth in the standard of living, unemployment, and inflation.

people, including those with jobs and those without jobs, as well as those with high incomes and those with low incomes.

Economics acknowledges that production of useful goods and services can create problems of environmental pollution.These are just some of the issues that will be explored in the macroeconomic chapters of this book.Microeconomics and macroeconomics are two different perspectives on the economy.Macroeconomics has two types of policies for pursuing these goals: monetary policy and fiscal policy.Answers to Self-Check Questions There are many physical systems that would work, for example, the study of planets (micro) in the solar system (macro), or solar systems (micro) in the galaxy (macro).Monetary policy, which involves policies that affect bank lending, interest rates, and financial capital markets, is conducted by a nation’s central bank.For the United States, this is the Federal Reserve.Both approaches are useful, and both examine the same lake, but the viewpoints are different.In a similar way, both microeconomics and macroeconomics study the same economy, but each has a different viewpoint.How do people decide whether to work, and if so, whether to work full time or part time?How do people decide how much to save for the future, or whether they should borrow to spend beyond their current means? When will a firm decide to expand, downsize, or even close?

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