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The organization’s strategic plan you wrote about in Week 2
calls for an aggressive growth plan, requiring investment in facilities and equipment,
growth in productivity, and labor over the next five years. It is your
responsibility to determine how the U.S economy during this five year period
will impact such an aggressive growth plan. To do so, you should:
2,100-word economic outlook forecast that includes the following:
- Analyze the history of changes in
GDP, savings, investment, real interest rates, and unemployment and
compare to forecast for the next five years.
- Discuss how government policies
can influence economic growth.
- Analyze how monetary policy could
influence the long-run behavior of price levels, inflation rates, costs,
and other real or nominal variables.
- Describe how trade deficits or
surpluses can influence the growth of productivity and GDP.
- Discuss the importance of the
market for loanable funds and the market for foreign-currency exchange to
the achievement of the strategic plan.
Recommend, based on your above findings, whether the strategic plan can
be achieved and provide support.