CSU Global The Great Recession: The Recovery Period

timer Asked: Feb 11th, 2019
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Question Description

Option #1

The U.S. economy is over a decade removed from the Great Recession. For several years after the Great Recession officially ended, the U.S. grew at an historically slow rate. Analyze the causes of the slow increases in U.S. GDP. Include in your paper:

  • An analysis of the monetary policy approach the Federal Reserve took to the recovery
  • An analysis of the fiscal policy approach the Federal Government took to the recovery
  • An analysis of how the attempts to influence GDP in the short-run negatively affect GDP in the long-run
  • An explanation of why the unemployment rate dropped rapidly in the United States despite low rates of increases in GDP
  • An identification, as appropriate, of the economic principles (from Module 1) that factor into your analysis.

Adhere to the following standards:

  • Your paper should be eight pages in length, not including the title or references pages.
  • Your paper should include at least five scholarly (library, not Google) sources (use the Economics Library Guide (Links to an external site.)Links to an external site. to start your research).
  • Sources such as The Balance, EconomicsHelp.org, Investopedia, and other help websites are not acceptable sources

Tutor Answer

School: Boston College

Here you go. In case of any further inputs, please let me know.All the best!I appreciate working with you!



The Great Recession – The Recovery Period



The Great Recession – The Recovery Period
The Great Recession refers to the period between the years 2000 and 2010 when there
was a massive and general market decline across world markets. The United States of America
was no exception to the Great Recession as its economy was greatly affected by the impact of the
economic decline in the world. The effects of the Great Recession on a local level was escalated
by the fact the United States of America’s economy depends greatly on international trade and
commerce hence economic difficulties abroad have a trickle effect to the local economy (Taylor,
2014). However, it is important to note that the level of impact and duration of the Great
Recession differed from country to country and various economists of international repute were
of the considered view that it was the worst economic meltdown the world had ever seen after
the Great Depression of the 1930s. Further, in the United States of America, the Great Recession
was greatly attributed to the collapse of the real-estate market among other factors.
In this regard, the United States of America put in various measures to not only minimize
the impacts of the Great Recession but also to put the country on a path of economic prosperity.
To this end, the country’s Federal Reserve adopted a monetary and fiscal policy approach that
emphasized on creating economic stability and making sure that the country recovers from this
particular economic regression (Alcidi & Gros, 2011). Also, the country decided to implement
various short-term plans aimed at influencing the Gross Domestic Product (GDP) which
backfired by negatively affecting the GDP in the long run. During this time, it was interestingly
noted that despite the low rates of increases in the United States of America’s GDP the
unemployment rate rapidly dropped across the country. As a result, this academic research paper



aims to critically analyze the causes of the slow increases in the United States of America’s GDP
during the recovery stage of the Great Recession.
The Monetary Policy The Federal Reserve’s Took To The Recovery
Primarily, it is important to note the important role that the Federal Reserve plays in the
formulating the monetary policy of a country. The formulation of the monetary policy of the
United States of America is a preserve of the Federal Reserve as it has the discretion to formulate
the country’s monetary policy in a manner that promotes economic development. In setting the
monetary policy, the Federal Reserve will make changes in interest rates and influence the
money supply in the country to respond to the prevailing economic circumstances. Usually, in an
economic recession, the Federal Reserve will lower the interest rates and increase the money
supply in the country's economy in an effort to spur economic recovery and prevent further
meltdown (Cochrane, 2011). Of importance is that the Federal Reserve makes decisions and
policies related to monetary policy independently without influence from the Executive and
During the Great Recession, the Federal Reserve adopted various strategies to help the
country recover from the economic meltdown. Some of these policies were hugely successful
while others were responsible for the slow rate that the economy recovered from the Great
Recession. Various economic scholars of distinguished repute are of the considered view that the
Federal Reserve erred in c...

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Tutor went the extra mile to help me with this essay. Citations were a bit shaky but I appreciated how well he handled APA styles and how ok he was to change them even though I didnt specify. Got a B+ which is believable and acceptable.

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