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According to the author, these are great achievements that the US has been able to make considering the many challenges that the country had experienced previously. For example, in 2008, the US experienced a grave recession that was followed by an economic depression in 2009. However, the government has been able to put in measure strategic and effective measures that have been able to improve the economic status of the US. Further, the article features the US economic history from the end of World War II to the present times. The history of US economic is wide and has been impacted by different factors that the author features. These things include; balance of payments, trade structures, imports and exports, economic policy, fiscal policies, monetary policy, and exchange rate policy.

Changes

According to the article, it is clear that the US is in the right truck when it comes to economic status and this means that no changes are necessary. Notably, the current US budget in a great way influences the way current US economic situation. The latter is in the sense that the current budget allocates adequate finances that align with each and every country's economic sector hence making sure that every department sustains a running economy (Silvia, 2011). The budget is distributed in a manner that it creates a balance in all the country's sectors like agriculture, tourism, manufacturing, and technology and all other sectors. As an outcome, every sector is empowered by the budget to contribute to the country's revenue. Moreover, with all the sectors being active, employment opportunities have been created, and hence a big number of the citizens are economically empowered and contributes to the country’s development.

Pro and cons on a possible amendment to the Constitution requiring a balanced federal budget

A balanced federal budget amendment to the constitution is an amendment that prohibits a country from spending more that its income. The amendment requires a balance to be always maintained between the projected receipts and the government's expenditure. In the case, the US Constitution is amended, and a balance of federal budget is required, there are some pros and also some cons that would be experienced. For the pros, the country would avoid operating on debts, and this means that country would not have to incur high expenses like paying of interests for debts (Gordon, 2016). Secondly, the US will have to promote creativity and innovation for the purpose of establishing strategies that help in increasing the levels of income so as to meet the government levels of expenditure.

For the cons, the country's rate of growth and development can be compromised especially when the levels of income are low, and the expenditure is high. The reason is that there would be no finances to meet the expenditure and hence a lot of economic issues would be left unattended to and hence reduced efficiency and effectiveness in government operations. Secondly, the cost of living would go up, and this would adversely impact the citizens (Gordon, 2016). The reason is that the government would be forced in increase it's tax rates so as to generate ample income to be used for public expenditure. Hence, people would have a reduce purchasing power that would eventually affect all sectors hence subjecting the country to a recession or even an economic depression.

Comparable historical event

The early 1980's recession is one historical event that is comparable to the article's economic issue. The historical event was featured with temporary economic challenges that affected the world in the late 1970's and early 1980's. During this time, there were increased levels of unemployment, countries got into huge debts and the US faced a massive loan and savings crisis. The early 1980's recession impacted the daily life of the time regarding home, work, and recreation in many adverse ways. First, the cost of living rose, and hence it was hard for many people to afford food and quality shelter something that significantly reduced the quality of living for many people (Jenkins, 2013). Many people could not afford quality education and this also affected future career life of many. The poor compensation affected work because the employees who were lucky to be employed did not have any motivating factor as the employer could not even afford sustain or manage to comply with all employment laws and policies.

Ways to which the economic issue in the article applies to my daily life

The fact that currently, the US is in a real economic has in many positive ways applies and compliments my daily life. For starters, the levels of employment are relatively high, and this means as a person I have working opportunities and chances of improving my personal and career life. With employment empowerment, as a person, I have a potential purchase power something that makes my life comfortable. The latter is in the sense that I can afford a majority of the things that I need and even some luxuries. Moreover, the fact that the work that I do is well paying, I do not have to work for too many hours to sustain myself and hence can afford time for social life like visiting recreational facilities.

References

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Gordon, R. J. (2016). The rise and fall of American growth: The U.S. standard of living since the Civil War. Princeton: Princeton University Press,

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Jenkins, S. P. (2013). The great recession and the distribution of household income. Oxford: Oxford University Press.

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Bottom of FormTop of FormSilvia, J. (2011). Dynamic economic decision making: Strategies for financial risk, capital markets, and monetary policy. (Dynamic economic decision making.) Hoboken, N.J: Wiley.

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