Macroeconiomics Eassy #4.docx - Delilah D Mays AC1007506...

Info icon This preview shows pages 1–3. Sign up to view the full content.

View Full Document Right Arrow Icon
Delilah D. Mays AC1007506 Macroeconomics C11E Assignment 04 Part A: question 1 Macroeconomic analysis is imperative for the growth of an economy. It is a process that takes into accounts various principles and economic determinant factors to analyze a particular economy. Unemployment rates, interests’ rates, inflation rates, gross domestic products and policies made by the government are some of the critical factors that are put into consideration during the analysis process. This makes it possible for the financial and economic analysts to make predictions on future states of economies. This paper explains in depth the concept of macroeconomic analyses and its hand in economic growth. Different economies have invested much on macroeconomic analysis. Notably, it contributes greatly to the growth of an economy. Firstly, the process is imperative in forecasting and predicting on the future. An economy that relies on information from macroeconomic analysis benefits from the resulting accurate predictions made. For instance, economists monitor carefully the prior economic trends borrowing heavily on the present and past information. Financial analysts are therefore in a position to find out when inflation is likely to occur. Inflation should not exceed certain manageable levels otherwise; it becomes very dangerous to an economy. In cases where inflation has a high probability to occur, the government is forced to take actions meant to mitigate negative effects of inflation that would adversely affect the smooth run of the various businesses (Rossi, 2001).
Image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full Document Right Arrow Icon
Secondly, macroeconomic analysis studies policies that dictate the activities of a certain economy. Government policies greatly determine whether an economy is going experience a fast
Image of page 2
Image of page 3
This is the end of the preview. Sign up to access the rest of the document.

{[ snackBarMessage ]}

What students are saying

  • Left Quote Icon

    As a current student on this bumpy collegiate pathway, I stumbled upon Course Hero, where I can find study resources for nearly all my courses, get online help from tutors 24/7, and even share my old projects, papers, and lecture notes with other students.

    Student Picture

    Kiran Temple University Fox School of Business ‘17, Course Hero Intern

  • Left Quote Icon

    I cannot even describe how much Course Hero helped me this summer. It’s truly become something I can always rely on and help me. In the end, I was not only able to survive summer classes, but I was able to thrive thanks to Course Hero.

    Student Picture

    Dana University of Pennsylvania ‘17, Course Hero Intern

  • Left Quote Icon

    The ability to access any university’s resources through Course Hero proved invaluable in my case. I was behind on Tulane coursework and actually used UCLA’s materials to help me move forward and get everything together on time.

    Student Picture

    Jill Tulane University ‘16, Course Hero Intern