Question

1) Are individuals in the United States “better off ” economically now than they were at the beginning of the twenty-first century? Why? 2) Obtain several recent issues of The Wall Street Journal or Bloomberg Businessweek. Identify, read, and be discuss at least one article relating to one of the six principles of finance. Cite the date and name of the article.

Answer 1

Question 1:

As per a reasearch article published by Charles Jones and Peter Klenow, a new economic metric was proposed which takes into consideration the following factors while determinig whether the US citizens are better off today as compared to a decade ago: growth in per capita consumption, life expectancy, changes in working time and inequality. Also, this metric is quite effiicient in the way that it can be used to analyse the economic performance across countries as well as across time periods.

According to this newly developed metric, US citizens apparently do enjoy higher levels of economic welfare as compared to a decade ago, despite the huge financial crisis of 2008 and its unbelievable after-effects on the US Economy. However, the rate of imrpovement has slowed down recently and also there has been an increase in dissatisfaction levels over polls and politics.