The current macroeconomic situation in the US is that there has been the mortgage crisis, crash of the stock market and we are heading towards a deeper recession. The US economy is currently concerned with unemployment but not inflation or a recession.
The US economy is current concerned with unemployment because the unemployment rate has not been this high since 1981 (Amadeo, 2012). The current unemployment rate is 8.3 percent. There may be a lot of unemployed people but it does not include the people who are part time workers or people who have been temporarily laid off. This is not a concern because it is expected to decrease because more jobs will be created.
Inflation rate is at 1.4 percent. This is lower than the average prior which was at 3.63 percent. This is the reason that the US is not concerned with inflation. There have been higher prices at the gas pumps and your grocery bill has increased but based on the core inflation it good (Baden, 2011). The chart below will help you understand the core inflation rates for this current year and years prior (Current Inflation Rate, 2012).
Current Annual Inflation...