The Failure Of National Economic Policy Essay

The Failure Of National Economic Policy Essay

Length: 1184 words (3.4 double-spaced pages)

Rating: Better Essays

Open Document

Essay Preview

"The failure of national economic policy is costing us more than jobs; It has begun to weaken that uniquely American spirit of risk-taking, large ambition, and optimism about the future. We must rally them now to bold departures that rebuild our national morale as well as our material prosperity." - Mitch Daniels
"Education is the best economic policy there is." - Tony Blair
Many influential politicians and economists believe that economic policy directly affects the work force. That "bad" economic policy directly affects human capital. However, the term "economic policy" has great potential to be misunderstood or taken at face value. What exactly is this economic policy that is strong enough to diminish human capital and to destroy the American spirit? Simply put, economic policy is the action(s) taken by a government to influence it 's economy. Most economic policy is geared towards maintaining a healthy economy and takes the form of regulations, taxes, tariffs, etc. There may be a wide range of goals in any given piece of policy, however the most important measure of effectiveness when discussing these policies is likely how the value of currency is affected. There are three basic types of economic policy, those being supply-side economics, demand-side economics, and monetary policy.
Supply-side economics is policy that seeks to create incentives for production through tax and fiscal policy. In a broader sense, supply-side economics seeks to deregulate the market to promote a flourishing economy through sound money and free trade. Supply-side economics is a relatively young theory of economic policy that has seen much use throughout history, despite only recently becoming a published theory. In the 25 years betwee...


... middle of paper ...


... Fed uses to accomplish all of these tasks are the discount rate, open market operations, and the reserve requirement. The Fed operates on the idea that the best kind of economy is the decentralized kind and operates with little input from the central government.
There are many different economic ideologies and policies. Each has it 's own strengths, weaknesses, and mysteries to deal with. Supply-side economics favors the wealthy. Keynesian economics favors the consumer and has severe long-term consequences. Monetary policy is the only way to manage and mitigate the strengths and weaknesses of economic ideologies and the Fed was created to that purpose and that purpose alone. We may often look at tax and interest rates and be disappointed by what we see. It is important for every American to realize that without economic policy, there would not be a stable economy.

Need Writing Help?

Get feedback on grammar, clarity, concision and logic instantly.

Check your paper »

Essay on Policy-makers and Demographic Patterns

- The term demography originates from Greek literally translating as ‘people writing’, and, hence refers to the statistical study of human population and its vital statistics: birth, death and migration rates. However, changes in the demographic trends not only involve the study of changes in population size, but also its structure and distribution - as, for example, its age, gender and ethnical distribution. It, therefore, can be equally applied to macro and micro level analysis, where the former is applied to the aggregates of people, groups or societies and the latter – to small groups or families within a community or local area....   [tags: economic policy essays]

Better Essays
2858 words (8.2 pages)

Foreign Policy : The United States Policy Essay

- Throughout the course of history, the United States has remained constant with its national interest by taking many different actions in foreign policy. There have been both stat and long term effects of these actions. Foreign policy is the United States policy that explains how to deal with other countries economically and politically. Some of the inspirations for United States foreign policy are national security, economic concerns, and idealism. The history and identity of Central America has been physically invisible and marginalized within U.S....   [tags: United States, Americas, Latin America, Policy]

Better Essays
1824 words (5.2 pages)

Essay Plastic Bags : Economic Model For A Tax

- Plastic bags are an established part of shopping, and although convenient, cause substantial environmental damage worldwide. Australia’s consumption is estimated at well over 5 billion bags per year, and of these, only three percent are recycled. (Boomerang Alliance, 2015) This results in the majority of bags ending up in landfill or the environment, imposing significant impacts on wildlife (Animals Australia, 2012). This critical analysis will therefore summarise the issues surrounding plastic bags, the economic model for a tax on plastic bags and whether the tax would be effective in correcting the market failure in Australia....   [tags: Externality, Market failure, Costs, Economics]

Better Essays
1207 words (3.4 pages)

Wag the Dog Theory: Domestic Scandal and Foreign Policy Essay

- Wag The Dog Theory: Domestic Scandal And Foreign Policy [Author] [Institution] Wag The Dog Theory Of Domestic Scandal And Foreign Policy The “Wag the dog” theory of domestic scandal and foreign policy is advanced by some pundits through which, the US presidents committed the United States to overseas conflicts in order to divert public attention from national unrest or outcry does not necessarily apply to all US presidents. Some of the US presidents have indulged in foreign affairs, foreign tours, summits with foreign leaders, foreign conflicts or certain bold or rash decisions when faced with problems of economic or political nature on the domestic front....   [tags: president, personal failure]

Better Essays
715 words (2 pages)

Essay on The New Economic Policy of 1921

- The New Economic Policy of 1921 " The real meaning of the New Economic policy is that we have met a great defeat in our plans and that we are now making a strategic retreat… Before we are utterly smashed, let us retrace our steps and begin to build on a new foundation," - said Lenin in his speech on the 22nd of October 1921. His speech is considered to be one of the frankest admissions of failure ever made by a leader of a great nation. It is clear that the general reason of NEP's introduction was to find a substitute for War Communism policy....   [tags: Papers]

Better Essays
990 words (2.8 pages)

America's Foreign Aid Policy Essay

- It's Time for America's Foreign Aid Policy to Follow Thomas Malthus’ Prescriptions During the late 1700s, Adam Smith and Thomas Malthus each entered their predictions on the future of the world’s economies into the history books. In his writings in An Inquiry into the Nature and Causes of the Wealth of Nations, Smith theorized that national economies could be continuously improved by means of the division of labor, efficient production of goods, and international trade. In An Essay on the Principle of Population, Thomas Malthus predicted that the sustainable production of food in relation to population was vital to the mere existence of national economies in order to ensure an able labor f...   [tags: Foreign Policy Politics Political]

Better Essays
5400 words (15.4 pages)

The, Economic, And Economic Growth Essay

- Explanation:From the preeminent example of an “economic miracle,” Japan has become the preeminent example of stagnation. There is not one lost decade, there are now more than two—dating back roughly to 1991, and with no end in sight. Japan is hardly the only economy facing problems, but its failures have unfortunately proved to be the world’s most durable.[1] The policies have been debated for centuries, but the fundamental sources of long-term growth are plain. For Japan, the prospects for land and labor are mixed, at best, and the contribution of capital has been erased by an addiction to government borrowing....   [tags: Economics, Money, Capital accumulation]

Better Essays
844 words (2.4 pages)

Economic Dat The Presidential Election Essay

- Economic Data Explains the US Presidential Election Outcome The victory by Donald Trump in last week’s Presidential Election has, yet again, proved that the wisdom of crowds is probably highly questionable. Financial markets sold off aggressively in the immediate aftermath of the result, as opinion polls repeatedly pointed to a Hillary Clinton victory. Meanwhile, critics of Mr Trump claim that his economic policies are inward-looking and this ultimately threatens the stability of the global economy....   [tags: Tax, Economics, Monetary policy, Corporate tax]

Better Essays
1973 words (5.6 pages)

Essay about The Failure of the Weimar Republic in 1932

- The Failure of the Weimar Republic in 1932 The failure of the Weimar Republic to solve the problems that faced Germany during the 1920s and early 1930s is very well documented and the consequences of this failure are well known. The Republic was faced by a number of problems from the outset of which many were related to the economy, it faced some of the most serious economic problems ever experienced by a western democracy in history. By the Great Depression of the 1930s, the institution of the Republic as such was blamed by many for the economic problems and these, in turn, for the Weimar's downfall....   [tags: Papers]

Better Essays
674 words (1.9 pages)

National Socialism Essay

- The rise of National Socialism in post-WWI Germany is an understandable reaction to the problems of the Versailles Peace Treaty, considering the German attitudes and beliefs at the time. These attitudes and beliefs were the result of generations of Prussian militarism, extreme racist nationalism, and, most importantly, the failure of the Treaty of Versailles signed in June of 1919. The rise of the Nazi party, and their extremist National Socialist doctrine appealed directly to these attitudes and beliefs that permeated Germany society after the first World War....   [tags: essays research papers]

Better Essays
1188 words (3.4 pages)