1. ECONOMICS: April 17 Warm-up
If the economy is experiencing a recession, how might Congress and the President (working together) use the fiscal policy tools (government spending and taxation) to get the economy back on track?
Economics Learning Target In order to understand how the government works to promote the economic goals of full employment, price stability, and economic growth, I will analyze demand-side fiscal policy. I will know I have it when I can: (1) list the fiscal policy tools; (2) explain changes in fiscal policy on unemployment, inflation, real GDP, the budget, and the national debt; and (3) draw AD-AS graphs illustrating how fiscal policy can close recessionary and inflationary gaps. Ch. 15, Lesson 1: Demand Side Fiscal Policy (HO from yesterday) --fiscal policy practice + some more on deficits/surpluses and debt --AD curve in the AD-AS Model (closing economic gaps)
--discretionary vs. automatic fiscal policy (HO)
Assignment
Read Ch. 15, Lessons 2 & 3