Summer School 2009 - CÉRIUM
Montréal,
1 July 2009
Economic Challenges
How To Solve Them… And At What Costs?
Speaker:
Author:
Laurent Martin
Francis Généreux
Senior Economist, CDPQ
Senior Economist, DesjardinsEconomic challenges: How to solve them… and at what costs?
Plan
Plan
1. The American Economy
I. Structure of the Economy
II. International Comparisons
2. The Crisis
I. Decades of Imbalances
II. Financial Crisis
III. American Recession
IV. World Recession
3. The Response
I. Federal Government
II. Federal Reserve
III. State and Local Government
4. Medium Term Consequences
5. Forecasts
6. ChallengesEconomic challenges: How to solve them… and at what costs?
Plan
Plan
1. The American Economy
I. Structure of the Economy
II. International Comparisons
2. The Crisis
I. Decades of Imbalances
II. Financial Crisis
III. American Recession
IV. World Recession
3. The Response
I. Federal Government
II. Federal Reserve
III. State and Local Government
4. Medium Term Consequences
5. Forecasts
6. ChallengesSize of the economy
Gross Domestic Product (GDP)
of the United States
US$ 14 097 192 000 000 (Q1 2009)
Sources: Bureau of Economic Analysis and Desjardins, Études économiquesA service-based economy
Shares of GDP by industry (2008)
Goods
21.1%
Private
Services
66.1%
Sources: Bureau of Economic Analysis and Desjardins, Études économiquesThe transformation of the American economy
The transformation of the Ame
th
during the second half of the XX century century
% of the gross domestic product
% of the gross domestic product
Sources: Bureau of Economic Analysis and Desjardins, Études économiquesRecessions have become less frequent
Real GDP annual change (inflation adjusted)
Sources: Bureau of Economic Analysis and Desjardins, Études économiquesServices production is more stable
Real GDP annual change (inflation adjusted)
* One year moving average.
Sources: Bureau of Economic Analysis and Desjardins, Études économiquesHousehold consumption: the largest share of
aggregate demand
Composition of GDP in billions of US $ (Q1 2009)
Consumption
70%
Sources: Bureau of Economic Analysis and Desjardins, Études économiquesEconomic challenges: How to solve them… and at what costs?
Plan
Plan
1. The American Economy
I. Structure of the Economy
II. International Comparisons
2. The Crisis
I. Decades of Imbalances
II. Financial Crisis
III. American Recession
IV. World Recession
3. The Response
I. Federal Government
II. Federal Reserve
III. State and Local Government
4. Medium Term Consequences
5. Forecasts
6. Challenges