Fundamental of Macroeconomics

Fundamental of Macroeconomics

Eddie Brown

ECO 372

July 17, 2014

April Jones

Fundamental of Macroeconomics

The fundamental of Macroeconomics affects everyone’s daily lives in some ways. Purchasing of groceries, massive layoff of employee and decrease in taxes are importance parts of macroeconomics. Our daily active can plays a big part in the success of our economy world. Learning the fundamentals of macroeconomics will give us a better knowledge on how economic truly works.  

        The purchasing of groceries is a major part of economic in households it’s a priority for families. Purchasing groceries affect the government in many ways, because people tend to spend more money at the grocery stores. If people are spending more money on groceries then the governments will see more tax revenue. Every household is affected by the amount of groceries that are purchased because every family has to have enough food for everyone to eat. Grocery Store is affected by consumers buying groceries because they have to stay competitive with other stores to say in business.

             A massive layoff of an employee affects government, households, and businesses by people not having jobs to buy things. The government would be affected by the massive layoff of employees because it will affect gross domestic product. When there are massive layoffs it means that the people will not have money to spend on product and service that are provided business. People will start doing what we call “ Penny Pitching”  is no longer buying  luxury goods and  spending on a  budget. Lay-offs come in many ways and the effects of these lay-offs affect people’s overall standard of living.  People are not able pay bills, buy things that they enjoy, take vacations, and maintain a good quality of life.