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Economic Report - Essay Example

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After inheriting a gross domestic product of 3422.2 in 1981, the Reagan administration saw a sharp decline in the GDP owing to a number of reasons. The huge…
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Download file to see previous pages Percent Change in real GDP: As is evident from the description of the GDP figures, the percentage changes in real GDP during the period happened to be in proportion. In 1982 the negative growth of GDP indicates towards some serious issues in the domestic economic environment. But thereafter, the growth percentage has been consistent and positive. Year 1984 saw the maximum increase in percentage terms.
Civilian Unemployment Rate: The year 1982 is once again seen as the problematic year for the country with the overall unemployment rate rising to 9.7 percent, the highest during the tenure. The gradual decline of the unemployment rate in later years during the tenure points towards the people friendly policies taken up by the government of Ronald Reagan.
Civilian Unemployment Rate by Demographic Characteristics: Dividing the unemployment rate demographically, we find that that the Black population seems to be the worst affected. The situation is particularly severe in the age groups of young black community (16-19 yrs). Though it improves somewhat after that, but still things remain worrying for community.
Consumer Price Index: The CPI did not see major shakeup during the tenure of President Ronald Reagan. The index saw a consistent rise from 1981 to 1989. The index seems to have spread well over different items, with goods and services forming the major component flaring up the consumer price index. Starting with the overall consumer price index of 90.6 in 1981, the country saw the index rising to 124 by the year 1989.
Changes in Consumer Price Indexes for commodities and services: During the entire tenure of President Reagan, except the year 1986, the CPI rates of growth were very high. During this year the energy consumption seems to be one of the lowest actually, with negative growth of 19.7.
George H.W. Bush (1989-1993): The tenure of Bush senior too remained quite eventful in the sense that the world saw major ...Download file to see next pagesRead More
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