Macroeconomics

Macroeconomics

Running Head: MACROECONOMICS TERM PAPER                                                                 1

Macroeconomics Term Paper

MACROECONOMICS TERM PAPER                                                                                           2
Abstract
Using the required United States economic indicators the federal government uses to guide the economy, I researched and analyzed each indicator by comparing the data from 2010 to that of 2011.   Even though a large number of economists are optimistic, my opinion is that while recovery is progressing, the pace at which we are moving is not fast enough to rejuvenate consumer confidence.   Based on what I have read and have learned in the classroom over the last few weeks, I am even more concerned for our future than I was before I started to learn the world of economics.   The comparisons of the economic indicators paint a very dismal picture to me.

MACROECONOMICS TERM PAPER                                                                                           3
Gross Domestic Product
After learning what the Gross Domestic Product (GDP) is, I better understand the data I researched.   Based on what I read on the Bureau of Economic Analysis website, Table 1 – Real Gross Domestic Product and Related Measures, the Gross Domestic Product for June of 2010 (Q3) was 2.5 percent compared to the Gross Domestic Product of 2.0 percent, only a year   later in June of 2011 (Q3); a deficit of .5 percent between the two years.   The periods between these two months were very volatile.   From June of 2010 to June of 2011, our Gross Domestic Product Index dropped off at the end of 2010 and, since then, has climbed back to where it is today at 2.0 percent.   Of all the statistics reviewed on Table 1, I was most interested in our exports minus imports percentage.   In June of 2010, the United States was in a 2.3 percent trade deficit, yet our economy stabilized in June of 2011 and gave us a trade surplus of 3.8 percent.   This...

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