For Econ pt 2

For Econ pt 2

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  • We're so much busier than before!
  • I got hired! Now maybe I can take that trip to Hawaii.
  • Recession ending!
  • Would you look at that!
  • Now that people have more money to spend, businesses are booming. With the increase in revenue, and the tax cuts to businesses, they now have incentive to expand.
  • Inflation imminent!
  • It was too good to be true!
  • With businesses wanting to expand, laid-off construction workers will have jobs once again.
  • We'll cut our funding to programs!
  • Tax cuts encouraged consumer spending and business investment. As more money was spent, more goods and services were produced. GDP has increased, and unemployment dropped.
  • Guess that home is out of the equation...
  • The economy is experiencing high and increasing demand-pull inflation for some time. Prices are increasing rapidly. People are calling for the government to do something.
  • The government spending will be decreased, in part by cutting spending on aerospace and other programs. This will decrease overall demand in the economy and take pressure off rising prices.
  • Aerospace engineers are laid off from their positions, and have to accept lower-paying jobs elsewhere. Due to this decrease in pay, he decides not to buy a new home for the time being.
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