Economics College Essay Example | Topics and Well Written Essays - 500 words

Economics College - Essay ExampleThis event has halting the providence, leading to a quarterly decline of 1.4% in the third quarter. The attack has shut down the deliverance for several days and has had a lasting impact on tourism, the airline industry, and other businesses (Economists Call it box 2001). In an annual basis, the US economy only managed to grow by 0.8% during 2001.The economy has entered a domesticize state of recovery during 2002 where it posted 1.6% annual GDP growth. Recognizing the slowdown in the economy, the Bush administration intend to stimulate consumer spending and investment through the use of tax cuts. This fiscal policy was implemented in July 2003, taking immediate effect in the next quarter. The US has enjoyed an annual growth rate of 2.5% during that family which is strongly fueled by the rise in personal consumption expenditures coupled by a higher level of government spending. Also, the tax cut has been effective in creating jobs and boosting b usiness growth.From 2004, the US economy has been posting growth at par with its pre-recession rates. GDP in 2004 rose by 3.9%, which 0.2% higher than the 2000 level. one-year growth rates in 2005 and 2006 are 3.2% and 3.4%, respectively.