Discussion 1 Keynesian vs. Neoclassical economists
Thinking back to the business cycle discussion, how would Keynesian economists explain the performance of the economy during the last few years? Show graphically using the AD/AS model, and explain your reasoning.
Next, how would neoclassical economists explain the performance of the economy during the last few years? Show graphically using the AD/AS model, and explain your reasoning. Which interpretation makes the most sense to you? Why?
Suppose Congress votes to decrease corporate income tax rates. Use the AD/AS model to analyze the likely impact of the tax cuts on the macroeconomy. Show graphically and explain your reasoning. What exactly causes AD and/or AS to shift? What happens to GDP and the aggregate price level? Why?
Research paper 800 words, no more than 900
The economic and financial crisis from 2008 to 2009, also known as the global financial crisis, was considered to be the worst financial crisis since the Great Depression. The general situation at financial markets has been additionally complicated by introduction of new financial products and another mode of operations including globalization. Global financial market seem to be playing different function in economy and it has been working due to new regulations. Introduction of new trade platforms, online access to information, integration and globalization of the market caused some revisions of finance theories. What are reliable predictors of economic and financial crisis? Describe some achievements and pending issues in context of global crisis? Are we still in danger of economic and financial crisis today?
Conduct research from viable and credible sources such as and not limited to economic journals, periodicals, books, data base, and websites. This assignment should be submitted/uploaded via D2L on the date the assignment is due; any late assignment will be subject to a letter grade reduction unless an extension has been negotiated with the professor prior to the due date.
In this written assignment, the quality of your writing and the application of APA format will be evaluated in addition to your content. Evaluation based on these criteria is designed to help prepare you for preparing your college projects, which must be well written and follow APA guidelines. Each written assignment should contain a minimum of 800 words, but no more than 900 words. Make sure that you will use correct spelling, grammar, and punctuation.