Explain what a macroeconomic shock is, and give three examples of macroeconomic shocks to the U.S. economy in the past 10 years
What will be an ideal response?
A macroeconomic shock is an unexpected exogenous event that has a significant effect on an important sector of the economy or on the economy as a whole. Examples in the U.S. economy include, the housing bubble in 2006, the financial crisis of 2008, and the unexpected increase in oil prices in 2010-2011.
Economics
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When financial institutions go on a lending spree and expand their lending at a rapid pace they are participating in a
A) credit boom. B) credit bust. C) deleveraging. D) market race.
Economics
Trade restrictions will stop foreign imports, which will increase American employment and protect American jobs. Most economists realize this argument is wrong. Can you explain why?
Economics