Question

State the major challenges the Mid-Atlantic region is facing and the reason/s you believe studying the selected macroeconomic indicators is important.

Answer 1

Mid-Atlantic region is mostly constituted by some of the states such as Virginia, New York and North Carolina among the others of the USA. These regions consider ocean and its health to be very important for the economy and well being. Due to, this reason, theses regions are facing some challenges. The first challenge is the rising sea level that has created the survival problems to those cities who are in the coastal areas. It is negatively affecting the economic activities as well. The second challenge is the regular occurrence of the coastal flood in the region that is causing losses of capital and lives. It is posing a threat of different nature. The third challenge is the rise in the level of acids in the ocean of mid Atlantic region that is negatively affecting the marine life of the ocean. Besides, the real estate property rates are also dwindling due to the uncertain long term prospect of the coastal cities in the region.

The first macroeconomic indicator is the output produced and percentage of output produced as a part of whole US GDP. The decrease or increase in this indicator value, will tell the economic uncertainties faced by the reason. The second macroeconomic indicator is the employment level due to the marine and tourism activities. It will show the change in the employment level if people are coming  out of these sectors and opting for some other work. Further, change in per capita income of people of these regions should also be analyzed.

Above indicators will help assess the changes taking place in the economy of mid-Atlantic region.