Economics

The American economy is an economy, which is working and performing in such circumstances with the help of which it can easily touch the sky. If I am supposed to give a grade from A to D to American economy, I would preferably give B grade. The reason for giving B grade to American economy is its economic conditions.

Here if we take an example of GDP, we can examine the GDP of America. The GDP of America was  14.1 Trillion in 2009. In fact, the GDP of America is the one factor, which makes the economy of America the highest as well as the leading economy. It maintains the highest amount of output per person and was ranked number 10 from overall world. (Northrup, 2003)

Now coming to another factor, which makes the economy of America the B grader, is termed as Inflation. In February 2010, the inflation rate of America was 2.10 . In America, the cost of living was noticed as unchanged and this was the main reason, which makes the rate of inflation a bit low as compare to other areas.

Unemployment is also another factor due to which, I awarded grade B to American economy. The rate of unemployment as well as poverty is increasing day by day in America. People are facing many problems due to lack of jobs, all those manufacturing jobs which were known as the main or the backbone of American economy are now no where since years. Due to this lack of jobs, people are facing many problems and this increases the problems in overall American economy, therefore, I assigned B grade to American economy. (Dziedzic, 2005)

Now looking at the inventory side of the American economy, an increase in private inventories as well as in export is viewed from the year 2009. No doubt, American economy was not working well before 2009, but now there are clear signs, which are showing that the worst period is over.

Summing up all the above-mentioned factors, one thing is clear that American economy is the one, which was not working properly, and the economy was going downwards, but now this economy has improved a lot and is working well in order to generate better outcomes. All the above-mentioned factors helped a lot in order to make this economy the best one. Unemployment is only the factor, which still needs improvement, but apart from this, all the other factors are tightening up in order to boost up the economy of America and to generate well-oriented outcomes. B grade is awarded to American economy because there is some place, which can be filled up, and in the result, the American economy will touch the highest levels and the economy will be awarded A grade. Improvements can still be made in order to make this economy the best one.

Inflation, unemployment, GDP and inventory all are important factors, which should be covered properly, and work should be done in an appropriate manner in order to make this economy the worlds best economy, which is free from all the errors and is touching the high levels in order to generate high outputs. (Evans, 2009)