Economic Policies of America

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Argumentative essay on Economic Policies of America. Needs to be 9 pages. Economic Policies of AmericaThe condition that led to capital accumulation between the years 1940 and 1970 and the development of “welfare state” in the economies that were centralized within Western Europe, United States, and Japan is known as the ‘Golden Age’. During this era, the world economy came up with conditions that ensured very high investment rates, high growth output, and low inflation and ensured low unemployment (Robert, 2002). The United States Action is based on the Keynesian Revolution theory.Revolutionary theory was a basic change in the divided economic view to a framework that is more unified. The main idea was that a policy should be changed in a way that it would change the unemployment level through deficit spending scenarios such as tax cuts on the industries and public works and also changing the interest rates and the way that money was supplied. The main idea here was that the government could change the level of employment among its citizens. This theory holds that employment is not a function of supply, but demand (Keynes, 2006).Despite the many things that this theory did not cover, America as the super power country decided to come up with policies that were to ensure that there was increased demand for their products. The United States acted among others ensured that there was a common global market with the aim to increase the demand for their products (Keynes, 2006). The theory was adopted by several governments, including the United States of America.

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