ECO100 ECO 100 week 8 Discussions DQs (Graded A+) - 60951

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"Aggregate Demand and Supply" Please respond to the following:

·         You have been hired as a consultant by your mayor to evaluate the increase in aggregate demand in the city where you live. Describe to the mayor one (1) aggregate demand and supply factor that would have the greatest impact on the economy of your city.


·         Explain how a decrease in aggregate demand affects each of the following variables: inflation, unemployment rate, production, employment rate, and consumer confidence. Provide concrete examples to support for your response.

"Fiscal Policy" Please respond to the following:

·         Determine what fiscal policy measure has a more direct impact to the economy, an increase in government spending or an equal decrease in taxes if consumer confidence is lower than the previous month.  Explain your reasoning.


·         Choose a time frame whether it be current or historical, describe the economic situation and explain the appropriate fiscal policy that should be or was used to help stabilize the economy. Provide support for your response.

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