Economics Article Summary on America’s economic growth and development

America’s economic growth and development

America’s economic growth and development and how it has affected its citizens’ real GDP over the past years have been an issue for some time now. Throughout the article, real GDP changes positively indicate real growth of the economy evidenced by an improved quality of life and health. Cochrane suggests a 2% growth rate for America to achieve positive results in the next 50 years. The growth would significantly deter slow economic growth. In my opinion, this article is right because real GDP and income per capita of a country’s citizens are accurate indicators of its economic development and growth.

Development of a project is an issue which is of importance to the project managers. For instance, in the above articles, there is a project which involves building of a new road that would serve as a direct connection from the mines to the mill. The project is carried out in Eureka. Local officials and the state are in complete support of the above project since it acts as a safety measure to college students. The project seeks to improve the environmental condition of the area and to create jobs for residents.  Building of a new road is an excellent idea because it would benefit the region by improving its economic status. The article is right since it seeks to see the completion of the project through, as well as the positive impacts on the area such as the creation of employment.

Citizens of a country should support entrepreneurship as it helps in the development of the country. The author supports capitalism and has started some businesses both in the U.S and the U.K. If a country does not experience fiscal hardship; it would have enough money to maintain a good economy, therefore, enabling its people to have a decent lifestyle. Economists argue that the U.S should look into its economic growth regarding printing more money to allow for an increase in the number of transactions per day. It is essential for all business organizations to advance fiscally, so as to increase economic growth. This article articulately brings out the requirements of accelerating its performance economically for both poor and rich countries.

Modernizing approval of infrastructural problems to allow their ease of implementation is an issue of concern in U.S. If this procedure is upgraded, more infrastructural problems will occur within a short time, increasing the chances of another ones happening. For instance, faster development is necessary for a country to maintain a high economic status. The authors argue that the U.S only realizes that its developmental pace is slow when other countries such as the U.K surpass it. In my opinion, the U.S needs to increase its pace to win the world’s highest economic position.

In conclusion, National Association of Home Builders suggests that the cost of construction of new homes has increased by 30% over the last five years. The cost increase includes local impact fees. The article challenges home builders to pursue these projects as they did before. I think the article should have proposed a solution to this impending problem, so as to enable home builders to find better alternatives to sustain their projects. There exist negative effects of legislation on the growth of businesses. For example, every economy desires to prosper. There have to be laws that encourage increased business ventures for businesses to prosper. This article requires solutions to enable the readers to gain knowledge on the specific legislations that are favorable to business venturing.

 

 

References

Cochrane, J. H. (2016). Ending America’s slow-growth tailspin: The U.S. economy needs a dramatic legal and regulatory simplification. Wall Street Journal. Retrieved From: http://www.wsj.com/articles/ending-americas-slow-growth-tailspin-14622308188

Engler, J. & Mcgarvey, S. (2015). It’s amazing anything ever gets built: Federal permitting is a mess. Even a pet Obama wind-power project has been stuck for years.  Wall Street Journal. Retrieved From: http://www.wsj.com/articles/its-amazing-anything-ever-gets-built-1432682700

Ferguson, N. (2013). How America lost its way: It is getting ever harder to do business in the United States and more stimuli won’t help: Our institutions need fixing. Wall Street Journal. Retrieved from: http://online.wsj.com/article/SB10001424127887324798904578527552326836118.html?mod=WSJ__MIDDLENexttoWhatsNewsForth

Kirkham, C. (2011). Rising compliance costs: Regulatory fees have increased by nearly 30% since 2011. Wall Street Journal. Retrieved From: http://www.wsj.com/articles/home-builders-say-they-are-squeezed-by-rising-compliance-costs-1462613401

Kravis, M. J. (2016). What’s killing jobs and stalling the economy: A toxic regulatory brew, from Dodd-Frank to state licensing laws, has poisoned the formation of new firms that drive growth. Wall Street Journal. Retrieved From: http://www.wsj.com/articles/whats-killing-jobs-and-stalling-the-economy-1464992963

Miller, M. & Pattwell, M. (2017). How a Michigan county road got stuck in regulation purgatory    building a direct path to a new mine makes perfect environmental sense, but the EPA hasn’t budged. Wall Street Journal.  Retrieved From: https://www.wsj.com/articles/how-a-michigan-county-road-got-stuck-in-regulation-purgatory-1488585470