While the American economy has rebounded strongly from the 2008 financial crisis and the Great Recession that followed, economic growth has remained below the long-term trend since World War II. This slower growth has a direct impact on family economics and the country as a whole. Economists, including those who study government spending have studied a variety of ways to boost economic growth. One of the most important areas they have focused on is boosting productivity. Increasing productivity is one of the best ways to improve economic growth and is part of many online finance master’s degree courses because of its impact on economics.
Improving America’s schools and education is important for more than just teaching children new skills. The strength and productivity of America’s workers is dependent on good education. Early in childhood, classroom teachers are critical to a child’s success. Later, with at least some higher education essential for almost all middle class jobs today, college affordability comes into play. To ensure more economic growth, targeted investments in classroom teaching and college affordability make a big difference. At the same time, increased accountability for teachers, schools, and universities is needed to ensure that money invested in education is spent wisely.
The United States has long been a country of immigrants, with successive waves of Europeans reaching American shores and contributing hard work and know-how to the economy. America still attracts millions of immigrants, which makes the country financially stronger and more dynamic than economic peers like Germany or Japan. However, immigration reform that allows more high-skilled immigrants into the country and addresses the millions of unauthorized immigrants who cannot participate fully in the American economy is needed as a foundation for more economic growth.
Infrastructure was once a point of pride for the United States, with projects like the Interstate Highway System transforming commerce across the country. No longer. Declining federal and state spending has meant that too many roads and bridges are in disrepair. Airports are crowded and high-speed trains in the Northeast now run slower than they did in 1968! Finding a more secure source of funding for roads, now that tolls and higher gasoline taxes are less politically palatable, is critical. Without more investment, roads and rail connections that should accelerate economic growth will instead continue to hinder it.
While there are many other important issues that crop up and affect America’s economy, business and political leaders may consider focusing on these three areas as they seek to maximize economic growth and deliver more financial security to American families. It will be interesting to see how the economy continues to change in coming years.
Author: Eileen O’Shanassy is a freelance writer and blogger based out of Flagstaff, AZ. She writes on a variety of topics and loves to research and write. She enjoys baking, biking, and kayaking. Check out her Twitter @eileenoshanassy. For more education on the state of the economy check out online finance masters degree courses from Ohio University.