Week 6 Discussion: US Economy Analysis Using Economic Indicators

This assignment presents a discussion board post analyzing the US economy based on various economic indicators, including GDP, unemployment rate, and inflation. The author examines the US's economic performance from 2013 to 2017 and discusses current economic trends, such as the slowing GDP growth and the impact of unemployment rates. The post also includes responses to other students' contributions, providing a critical analysis of their arguments and offering additional insights into the relationship between economic indicators and the overall health of the US economy. References are provided to support the arguments made in the analysis. The discussion highlights the importance of considering both economic and social factors when evaluating the economy.

Week 6 - Discussion
Even after facing several challenges faced by the country, US economy has represented 20%
of the total of global output that is still larger as compared to China. According to IMF
(international monetary fund), US is the sixth largest country that has highest per capita GDP.
US economy is well developed and technical advancement- based companies in the areas of
financial services, retail, healthcare, and technology. Service sector is the engine of the
country and US has a significant manufacturing base that represents 15% output. The country
is the second largest manufacturer and it is a leader in automobile, machinery, chemicals, and
telecommunication industry (Hanushek, Machin, & Woessmann, 2016). Whereas, the
primary sector represents less than 2%. US economy maintains a powerhouse status with the
combination of few characteristics. It has been observed that after 1940 to 1970, the country`s
GDP grew at the annual rate of 4%. While observing the GDP, it is seen that GDP is around
USD16692bn in 2013, USD17428bn in 2014, USD18121bn in 2015, USD18624bn in 2016,
and USD19391 in 2017. From the GDP, it can be seen that each year the country has
improved its GDP with a small proportion.
As far as the economic indicators are considered, it can be seen that unemployment rate
signifies that number of people who are able to earn their livelihood and does not contribute
to the economic growth. The unemployment rate was 7.4% in 2013, 6.2% in 2014, 5.3% in
2015, 4.9% in 2016, and 4.4% in 2017. The inflation rate of country is nearly 1.5% in 2013,
0.8% in 2014, 0.7% in 2015, 2.1% in 2016, 2.1% in 2017 and 19% in 2018.
Currently, it has been seen that the US faces slow economic growth in last five years and
reflects that 2.2% GDP growth in 2018. The reason of slowing GDP is that since the last
election, the bond price has been reflecting consensus faced by the US economy. The
economy faces discouraging sustainable of Lacklustre growth and inflationary pressures.

Especially calculating the growth rate, jobs in US market that is tighter as compared to the
pair of skinny jeans. It is noticed that only 3.7% people participated in labour force who are
out of work in September. Most importantly, it is announced that rate of 3.7% is the lowest
unemployment rate since 1969. American government has added 134000 jobs in 2019 this is
very below the expectation. Further, it is expected that US growth rate will slow 2.3% from
the 3% in 2018. The country will be 2% in 2020 and 1.8% in 2021. Economists have seen
that US`s economy will slow severely before of possible recession in 2020. The economy
was boosted in 2018 that has been increased and boosted by tax cuts, those economic factors
that fade in 2019. Although, it is expected that growth will soon be back to the long term pace
of 2%. This reflects that emerging and raising even after the recession in 2019 and 2019
clearly reflects that the economic conditions of the organisation are stable.
Week 6 - Learning Journal
The learning journal reflects interesting concept of economic indicators that identify the
economic performance of the country. This reflects the significance of technological changes
in the decision-making in the economic consideration. Although, it is fact that the economic
conditions are important but at the same time, social oughts has to be considered. The main
aim of this week discussion ensures that there should be balance between the economic
relying and social oughts. As organisation is the part of the society and society`s work and
income affects the national economy. The technological advancement should not be only
used for production purposes rather it has the potential to improve the living standards of the
hue population. Decision making related to technological changes are not very
straightforward because it implies that the potential negative external business conditions
affect the technological changes. This is undoubting that consumer`s decision making is
based on rational choices. Rational decision model assumes that the general human will make
choices, which will maximise the benefits within the minimum costs because it is assumed

that a customer always have given set of feasible options and constraints and among them an
appropriate choice is made to maximise the live decisions. However, it is important to
prioritise and integrate the negative external environment in order to chase the improved
efficiency by using the scare resources.
Additional response to other students post-1
Response to Manny
After studying the data of the US economy, with the help of some indicators such as
unemployment rate, GDP and level of inflation, a country determine its state and recognise
itself as underdeveloped, developing or developed. She has concluded that US is performing
well by analysing the last quarter`s GDP, inflation, and unemployment. I think there is no
detailed discussion of rise. For example- “he said that GDP is increasing each year since
2009”, that is absolutely incomplete as reasoning is an important aspect of reflecting growth
and decrease (Gasteiger, & Prettner, 2017). It is important to know that expanding economy
generally have low unemployment rate and what opportunities in the economy has raised the
employment rate. The post discussion lacks the relationship between three economic
indicators. At the same time, she has effectively defined the economic cycle with the example
of business cycle and how it affects the economic conditions.
Although there are few measures that is not being includes in the GDP factor such as worst
health of the workers, pollution, work-in-progress, and other ethical values. Other more
measures through which the conditions of the economy can be determined are human
development index, Gross sustainable development product and many more. Apart from this,
GDP indicates high standard of living as it is a rough indicator of people`s income but it is
not directly related or accountable to environmental quality. More of them are leisure, level

of education and health, changes in the income level, change in standard of living, increase in
technological factors, and other activities conducted apart from the market.
Additional response to other students post-2
Response to Evelyn Anderson
In the case of US, it is seen that country`s unemployment rate is moderate but it has increased
in 2018-2019 to that point that was never even recognised in the history. It is represented as a
either lagging indicator, which generally increase, or decrease in the wake of fluctuating
economic conditions. Inflation rate represents the flow of currency in the economy. High
inflation rate indicates price rise in food, commodities, goods, services and energy through
which affects the entire economy. A healthy and moderate rate of inflation is nearly 2 to 3%
each year. It is calculated with the help of CPI in order to out space the growth of underlying
economic conditions (Gasteiger, & Prettner, 2017). She has appropriately discussed that these
economic indicators are not the only factors that determine the economic conditions of US. A
growing GDP at the rate of 4% and more is considered that country is quite stable. He has
simply used the external and macro factors that affect the economic performance, which is
quite good as these factors affect the country. She has not used the graphical representation of
any of the economic indicator. Moreover, she has not provided any detailed analysis. For
example- she must have used at least the statistical data of 10 years to analyse the economic
conditions. She must have represented her post with at least three graphs that includes the
increasing or decreasing of economic indicators. On the side, she has not evaluated the social
factors that affect the growth of the economy.
Additional response to other students post-3
Response to Aniley Morales post

GDP is a measure that is used to indicate the well-being of the economic conditions of the
country. This indicates the overall goodness of the economic conditions. Further, it indicates
that people living in the nation have high-income level and high purchasing power. For any
organisation, if it wants to expand, it looks after the GDP because high GDP and high
purchasing power will contribute to the maximum sales of the organisation (Choe, Tew, &
Tong, 2015). (Campolmi, & Gnocchi, 2016). Aniley Morales has her good presentation skills
as she talked of the whole economy including consumer price index. A detailed explanation
of factors affecting the economy has been lacking behind. While researching on the current
scenario, it is seen that country has been facing increasing rate of unemployment in 2019,
which has not been indicated in any of the article. There is no tabular representation so that
an easy comparison can be made to between the years of performance of the country`s
economy. Currently, the country has claimed into its current data that the country is suffering
from higher unemployment rate and it has not provided a considerable jobs to the people who
are efficient enough. Economic indicators are used to analyse not inform as lack of face-to-
face discussion is quite invisible between the class so that they can strengthen their logical
reasoning of ohw it happened.

References
Campolmi, A., & Gnocchi, S. (2016). Labor market participation, unemployment and
monetary policy. Journal of Monetary Economics, 79, 17-29.
Choe, P., Tew, J. D., & Tong, S. (2015). Effect of cognitive automation in a material
handling system on manufacturing flexibility. International Journal of Production
Economics, 170, 891-899.
Gasteiger, E., & Prettner, K. (2017). A note on automation, stagnation, and the implications
of a robot tax.
Hanushek, E. A., Machin, S. J., & Woessmann, L. (Eds.). (2016). Handbook of the
Economics of Education. Elsevier.