Economics and the Budget Wrap-Up

Our Topic covered how the Election and Politics affected the Economy and the budget. We felt that our group discussion was very thorough and well organized covering a broad span of areas within the topic. Our blog spanned such areas of the economy like governmental spending, the economic plans of both candidates and the possible results of the changes that would be made. We also discussed the responses of different industries to the election as well as the overall effect of the election on the economy. The plans to reduce the mounting deficit were a key issue as well as a special area of interest to our group. The entire group agreed that this is one of the most pressing issues to be addressed in the next four years. Looking closely at the mechanisms of the economy caused the group to have a new and better perspective of how every part of the government is entwined. Each learned something new about the way that the economy works. Each part considered attributed help that showed the delicate balance between the areas. The economy of the United States is a vast and complicated subject. This blog only scratches the surface of the information about the topic that is available. This assignment has sparked the interests of the group members in the world of economics and economic policies. Hopefully, this has inspired the group members to continue to follow the progress of economic state of our nation into the next four years and beyond.

where did this come from?

Sadly to say, I have no clue where this blog came from, I wrote it based on article I thought was on the blog and that I thought I had gotten from the blog but for some reason it no longer exists, I can't find the article online anywhere, if I do I will post it ASAP but I have other things to do right now, sorry. hope you like the comments anyway, or maybe you can find the article and surprise me with it, YAY!! anyways read on if you feel like it.

It is very interesting to see the direct effect of oil on our economy. A drop in oil prices caused all three stock indexes to increase. The positive effect of declining oil prices exceeds the negative effect of disappointing job creation reports. I was surprised to see that a $0.71 drop in oil prices caused the Dow Jones in increase by .07 percent, the S&P to raise .07 percent, and the Nasdaq to raise .2 percent in one day. That is a damn huge effect that $0.71 can have on our economy. The fact that they increased by this much is pretty amazing on its own, but to consider the job issue at the same time. At first glance the fact the number of jobs created was a positive number seems good, but it has to be looked at on a deeper level. For one the number of jobs created fell short of what was expected by 88,000 jobs. More importantly, the simple fact that jobs are being created is not enough. The rate at which jobs are created needs to exceed the rate at which new possible employees enter the job market in order for unemployment to decrease. I feel that this makes the stock increase all the more important. Although this is the true way to witness progress, I think that if the stock market only sees job creation it may be beneficial to increasing the stock market and therefore to our economy. If they are to look at the truly important numbers, the unemployment rates, then the stock market may become a grimmer place, with more crashes than booms.

Article 2 for Week 5

The link for the article is :

http://www.chicagotribune.com/business/sns-ap-bush-cabinet,1,132386.story?coll=chi-business-hed

Article 1 Week 5

Here is a short article on war spending:

http://abcnews.go.com/Politics/wireStory?id=255771

Article 1 for week 4

The article gives President Bush's financial plan after he won the elections.

http://www.ajc.com/business/content/business/1104/06taxes.html

Article #1 for week 4

I know itis not my week to post an article but I thought that this NY Times article was interesting.
An Industry-by-Industry Look at the Implications of the Election

Link for Jena's article

What a Bush win means to your wallet

Article 2 for Week 3

Second article for this week is entitled "What a Bush Win Means to your Wallet"