Introduction and Economic Situation The Economic Stimulus Act was signed in February of 2008. The goal of the Economic Stimulus Act was to hopefully increase the economy throughout the United States and to attempt avoiding a recession. According to our textbook, a -recession is best defined as “a period of decline in economic activity lasting more than a few months, as reflected by falling output, employment, income, and other aggregate measures “(McEachern,2015). The Economic Stimulus Act was signed on February 13th by President Bush, along with the provision of both the Republican and Democratic parties. In the article, “The Federal Stimulus”, the author states, “The intent was to induce consumer and investment spending to prevent a recession.
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This statement fom Viard proves that while the stimulus act could be providing positive short-term effects doesn’t necessarily mean that the stimulus acts will continue to have positive outcomes within imports and exports. Before the stimulus act was put into place, the current recession was creating a negative effect throughout trade. Within the article, “The Impact of Foreign Trade on the Economy”, it is said that “…because the gap between imports and exports has been shrinking, it has had a much smaller negative effect…thereby allowing the economy to grow” (McTeer, 2008). McTeer also states that “If our trade deficit increases at a time when consumer spending is falling and investment is flat, fiscal policy will be the only game in town. Hopefully, dollar appreciation will slow enough for net exports to continue growing and supporting our economy – and our jobs. (McTeer, …show more content…
(n.d.). Why Bush's 2008 Rebate Checks Didn't Work. Retrieved March 28, 2018, from https://www.thebalance.com/bush-economic-stimulus-package-3305782
Broda, C., & Parker, J. A. (n.d.). The Impact of the 2008 Tax Rebates on Consumer Spending. Retrieved April 10, 2018, from https://insight.kellogg.northwestern.edu/article/the_impact_of_the_2008_tax_rebates_on_consumer_spending
McEachern, W. A. (2017). Macro Econ 5: Principles of macroeconomics. Boston, MA: Cengage Learning.
McTeer, B. (2008, December 10). The Impact of Foreign Trade on the Economy. Retrieved from https://economix.blogs.nytimes.com/2008/12/10/the-impact-of-foreign-trade-on-the-economy/
P., & N. (2008, February 13). H.R.5140 - 110th Congress (2007-2008): Economic Stimulus Act of 2008. Retrieved March 28, 2018, from https://www.congress.gov/bill/110th-congress/house-bill/5140
The Economic Stimulus Act of 2008. (2008, July 01). Retrieved March 28, 2018, from https://www.thetaxadviser.com/issues/2008/jul/theeconomicstimulusactof2008.html
The Federal Stimulus. (n.d.). Retrieved April 10, 2018, from http://2008financialcrisis.umwblogs.org/The-Federal-Stimulus/
What did the 2008–10 Tax Stimulus Acts do? (n.d.). Retrieved March 28, 2018, from
This statement fom Viard proves that while the stimulus act could be providing positive short-term effects doesn’t necessarily mean that the stimulus acts will continue to have positive outcomes within imports and exports. Before the stimulus act was put into place, the current recession was creating a negative effect throughout trade. Within the article, “The Impact of Foreign Trade on the Economy”, it is said that “…because the gap between imports and exports has been shrinking, it has had a much smaller negative effect…thereby allowing the economy to grow” (McTeer, 2008). McTeer also states that “If our trade deficit increases at a time when consumer spending is falling and investment is flat, fiscal policy will be the only game in town. Hopefully, dollar appreciation will slow enough for net exports to continue growing and supporting our economy – and our jobs. (McTeer, …show more content…
(n.d.). Why Bush's 2008 Rebate Checks Didn't Work. Retrieved March 28, 2018, from https://www.thebalance.com/bush-economic-stimulus-package-3305782
Broda, C., & Parker, J. A. (n.d.). The Impact of the 2008 Tax Rebates on Consumer Spending. Retrieved April 10, 2018, from https://insight.kellogg.northwestern.edu/article/the_impact_of_the_2008_tax_rebates_on_consumer_spending
McEachern, W. A. (2017). Macro Econ 5: Principles of macroeconomics. Boston, MA: Cengage Learning.
McTeer, B. (2008, December 10). The Impact of Foreign Trade on the Economy. Retrieved from https://economix.blogs.nytimes.com/2008/12/10/the-impact-of-foreign-trade-on-the-economy/
P., & N. (2008, February 13). H.R.5140 - 110th Congress (2007-2008): Economic Stimulus Act of 2008. Retrieved March 28, 2018, from https://www.congress.gov/bill/110th-congress/house-bill/5140
The Economic Stimulus Act of 2008. (2008, July 01). Retrieved March 28, 2018, from https://www.thetaxadviser.com/issues/2008/jul/theeconomicstimulusactof2008.html
The Federal Stimulus. (n.d.). Retrieved April 10, 2018, from http://2008financialcrisis.umwblogs.org/The-Federal-Stimulus/
What did the 2008–10 Tax Stimulus Acts do? (n.d.). Retrieved March 28, 2018, from