The nine months leading up to April 2009 were among the most complex and dubious in U.S. economic history. A series of destabilizing events had led to considerable doubt and panic throughout the economy: Three of the five biggest U.S. investment banks had failed, the stock market had fallen by 40%, the Fed had doubled its balance sheet, and the federal budget deficit had expanded to well over $1 trillion. Additionally, the disaster had spread to the world's leading markets from the United States and seemed to signal the start of an outstanding rebalancing of the world economy.
This case investigates the challenge facing the U.S. market in spring 2009, the global economic forces and trends affecting the economy, and the likely course of key macroeconomic variables: real and nominal interest rates, exchange rates, GDP growth, inflation and budget deficits.
PUBLICATION DATE: May 14, 2009 PRODUCT #: UV1645-PDF-ENG
This is just an excerpt. This case is about INNOVATION & ENTREPRENEURSHIP
Whither the U.S. Economy Case Study Solution
