Look closely at the attached article: https://www.forbes.com/sites/currentevents/2014/01/22/five-big-steps-toward-faster-global-growth/#256e9cdd3661
I started answering the first part of the discussion question below. Can you check to see if I'm on the right path and help me with the second question?
- What are the challenges that the US economy will be faced with given a higher debt limit for future economic growth?
One challenge from the article is that if nothing changes in the way of how we do business today, the economy will experience "slower job growth than that needed to meet the increase in the elderly population (Malpass, 2014)." This means that less jobs will result in less income taxes to offset increases in the payments needed to made for social security. Interest rate being held at 0.00, according to the article, could negatively affect income inequality and new workers.
- Describe what would happen to GDP, the unemployment rate and the inflation rate if there is a decline in global growth.
Reference:
Malpass, D. (2014, January 22). Five big steps toward faster global growth. Forbes. Retrieved from https://www.forbes.com/sites/currentevents/2014/01/22/five-big-steps-toward-faster-global-growth/