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The identification and analysis of the economic, political and social issues facing the United States - Essay Example

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The identification and analysis of the economic, political and social issues facing the United States BY YOU YOUR SCHOOL INFO HERE DATE HERE The identification and analysis of the economic, political and social issues facing the United States Introduction Historically, the United States has maintained a relatively stable economy, a mixed economy in which both direct and indirect governmental intervention served to maintain market equilibrium and ensure economic solidity…
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The identification and analysis of the economic, political and social issues facing the United States
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"The identification and analysis of the economic, political and social issues facing the United States"

Download file to see previous pages A combination of reduced market entry barriers for a multitude of different industries has increased competition in a country that is highly saturated with consumer product competition. Renewed reliance on foreign imports to sustain quality of life from emerging or developing countries such as China has, today, begun to impact supply and demand in the United States. In addition, with many foreign nations changing their fiscal policies to ensure economic stability during an ongoing international recessionary environment, currency valuation has become unpredictable, thus impacting profitability for companies that have made considerable profit producing products in countries where labour costs are low. Furthermore, political actors in the U.S. government continue to divest financial resources into the free market environment to assist large banking and lending facilities, as well as a variety of corporate industries, through bailouts and short-term tax extensions. All of these factors, and many more, have raised the consumer price index and increased inflation, thus diminishing real consumer incomes. This report identifies and analyses all of the economic, political and social issues facing the United States and offers recommendations for increasing economic growth in the country. The political and economic factors The United States is considered a federal, constitutional democracy. Weingast (1997) reinforces that stable democracies can only be sustained when values, principles and beliefs are shared by all citizens of the nation, a phenomenon referred to as civic culture. “If there is no consensus within a society, there is little potentiality for peaceful resolution of political differences” (Weingast 1997, p.248). According to Barrett (2011) there are a series of distinct constructs that must exist in order to be a stable and thriving democracy, including equality, accountability, fairness, transparency and trust. Why is this necessarily relevant to assessing the current condition of the United States? In 2008, President Barack Obama and the authorities of Congress committed billions of dollars to banking and lending facilities and a variety of corporate entities that were failing due to a surplus of economic problems stemming from the mortgage crisis, inflation, market speculators, and diminished consumer incomes that were negatively impacting revenue growth in a variety of industries servicing consumer products. Corporations, consumers and market investors alike have grown inter-dependent on governmental intervention and commitment of taxpayer capital to continue to bailout businesses and financial industries. Where it was once considered unmentionable for government to take such a critical and active role in the free market economy, today consumers and business leaders are placing considerable pressure on governmental actors to develop routine and synchronized financial rescues in order to guarantee short-term economic stability in the country. This change in social and political attitudes seems to have now created a somewhat unified set of cultural values related to government involvement in business, industry and investment that has changed the dynamics of the traditional constitutional de ...Download file to see next pagesRead More
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