prepare and submit a term paper on Week 6 Discussion Questions.

You will prepare and submit a term paper on Week 6 Discussion Questions. Your paper should be a minimum of 250 words in length. 1. If I were the CEO of a large corporation that is giving testimony before congress relative to legislation needed for job creation, I would first focus on legislation that is designed to boost exports. I would press congress for trade agreements with foreign governments or regional economic zones that are favorable for the United States. I would argue that smart legislation concerning exports would boost foreign demand for goods and services originating in the United States. This increased foreign demand will cause firms such as my own to add jobs necessary to meet demand. Lowering unemployment is key to improving the economy.

2. An increase in jobs alone will improve the economy somewhat. More jobs means more money in the pockets of consumers. Seeing that nearly 2/3 of all economic activity in the United States is driven by consumer purchases, this is good news. Other factors such a credit markets and government debt will affect the economy as well. These will need addressed as well as unemployment.

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3. The current economic state is largely due to corrupt and unethical practices in the financial sector, specifically in home mortgage lending. Unethical lenders were profiting by lending money to individuals and families that they knew would never be able to repay. Housing starts skyrocketed because people were building homes they actually couldn’t afford. Everyone thought they could just sell their homes at some point in the near future and pay them off. The problem is the shady lending practices were exposed, the credit default swaps all came due and there wasn’t enough money to go around to pay everyone affected. The current state of the housing market is the result of these unwise practices.

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