Economic State of America

Essay by shellelouise20College, Undergraduate November 2014

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Keenan Harding



Business Economic Terms Related to US Economy Today

After reading the third and fourth chapters, I decided to do a little bit of researching online. When researching the topic of the United States Economy today, I found a website that gave a bushel of very helpful information that gives details on leading issues of our economy today. The website,, was the website that I found that had the most up to date, well rounded, factual information in lemans terms.

One topic that is ringing in the ears of all Americans and Foreign investors today is America's Debt Challenge. This amplified in late 2008, when bailouts were granted to large financial structures, such as Fannie Mae, Freddie Mac, and Wachovia. This gave a sour taste in the mouths of all firms invested within our economic infrastructure. Much outsourcing is done today, due to the joint venture of Fannie Mae and Freddie Mac.

This partnership through off the balance of payments and created a large deficit.

The annual deficit has been dropping for the past five years and now as of this last Wednesday, Congressional Budget Office announced that the US deficit is at 2.8% of Gross Domestic Product (Sahadi). As CNN Money states, this number makes it $195 billion less than a year earlier. This deficit is happening due to lawmakers not passing any spending and tax measures that would increase the deficit. This trend with the deficit is said not be able to continue on this way for very much longer. As quoted by Greg Valliere, "Fiscal restraint is falling out of fashion."

With the US economic world the way it is today, we would need to create a hope and trust for our future generations through formulating a stable business plan that can be...