Write a Brief Description of the Fiscal Policy of the United States.

23 paragraphs expound During recent political campaigns, taxes and budget policy were key issues. White home base budget packages are often designed to stimulate economic growth. From the subroutine library or from www. whitehouse. gov, obtain a current summary of government outgo and tax legislation signed by the president. Write a abbreviated description of the fiscal policy of the United States. Would you describe it as expansionary or contractionary? How can American consumers influence decision makers on fiscal policies? rationalize and discuss if and how this has changed over the past 5 years For the last some(prenominal) years, the U. S. government has been primarily in an expansionary mode of fiscal policy. President George W. supply signed a $152 billion stimulus bill to help trash off a recession. This bill primarily resulted in the mailing of $600 rabbet checks to millions of Americans to encourage consumer spending. In 2009, President Barack Obama signed the muc h larger American Recovery and Reinvestment Act, which provided tax cuts, loans and contracts, and new or expanded entitlements.The Congressional calculate Office estimated that the legislation would increase the U. S. budget deficit over a 10 year period by $787 billion. According to www. whitehouse. gov, this legislation created or maintained almost 700,000 jobs in the first quarter of 2010. The main representation consumers influence fiscal policy is by their spending habits. When citizens become dying(p) about the economy, they tend to save more and spend less.This leads to decreased production, lay-offs, and unemployment, which in turn causes even lower spending rates. The Federal reserve commonly tries to modulate the effects of these situations by manipulating key interest rates. For example, right outright the federal funds rate is at a 60-year low, making acquire for investments cheaper than it has been in memory. Until recently, consumer spending saw long-term increa ses due to the availability of individual(prenominal) credit, but since 2008, as consumer credit markets have tightened, it has dropped.