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We the People Book Cover
We the People: A Concise Introduction to American Politics, 4/e
Thomas E. Patterson, Harvard University
Economic and Environmental Policy

Analytical Thinking Exercise

  1. Use the analytical thinking format at the beginning of Chaper One of this Study Guide to discuss the reading "Long-Term Goals for the Economy" by Alice Rivlin.
  2. Look at Tables 15-2 and 15-3 and apply the principles presented in those tables to the following scenarios:
    1. Business is booming; worker employment is high; people have money and want to spend it; the stock market is climbing. What action can be taken to slow down business a little to keep inflation from eroding the gains?
    2. Business productivity is slowing and growth is below 2.5% per year. Corporations are downsizing and not only are less educated workers being laid off but middle management/college trained workers are also being laid off. What action can be taken to infuse growth into the economy?








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