Explain how specific fiscal and monetary policy changes can impact a U.S. economy in recession

Produce an evidence-based business report (3-5 pages) that makes fiscal and monetary recommendations to combat the hypothetical recession impacting the economy in the provided scenario.

Introduction
In this assessment, you will produce a business report that makes well-supported fiscal and monetary recommendations to combat a hypothetical recession impacting the economy.

It is generally thought that a recession occurs when the real GDP growth rate is negative for at least two consecutive quarters. Such thinking would have missed the first recession of this century and would have been about a year late in identifying the Great Recession. Although there is no formal agreed upon definition of a recession, a recession is generally acknowledged to be a material decline in the economy that lasts from a couple of months to over a year.

Scenario
You are an economic analyst at a large and influential investment firm. The firm’s opinions influence clients directly but also indirectly influence others within the economy, including legislators, policy makers, and other actors and advocates. Your direct supervisor has requested that you create a business report that makes well-supported fiscal and monetary recommendations to combat a recession impacting the economy. Your report will be distributed to other analysts and consultants within the firm, who will use your recommendations to advise clients.

Your Role
You are an economic analyst at a large and influential investment firm.

Requirements
Address the following in your business report. Where applicable, discuss multiple and even conflicting perspectives as you provide the richest context possible for your colleagues at the investment firm:

Analyze indicators that tend to lead to recession starting points.
Explain how specific fiscal and monetary policy changes can impact a U.S. economy in recession.
Fiscal recommendations include decreasing taxes and increasing government spending.
Monetary recommendations include decreasing interest rates and increasing the money supply through open market operations.
Assess how Keynesian and Austrian macroeconomic approaches would address a recession differently.
Explain the assumptions that inform each school of economic thought.
Deliverable Format
Since you plan to share your report with your immediate supervisor and your colleagues at the investment firm, you want this report to be clear, well-organized, and readable. Your supervisor has requested that your report be 3–5 pages so you have enough space to develop your ideas and provide some scholarly context. Your report is a professional document and should therefore follow the corresponding MBA Academic and Professional Document Guidelines (available in the MBA Program Resources), including single-spaced paragraphs.

Communication: Communicate in a manner that is scholarly, professional, and consistent with the needs and expectations of professional colleagues and other stakeholders. For this scenario, assume your supervisor expects original work, critical thinking, and scholarly sources. Your writing must be free of errors that detract from the overall message. Include an introduction, body, and conclusion.
Resources: Include at least three resources that are scholarly and/or professional. So that your imaginary supervisor and colleagues can locate more information about recession economics, include a reference page at the end of your report.
Report length: Minimum of 3–5 pages, in addition to a reference page.
Font and font size: Times New Roman, 12 point.
Faculty will use the scoring guide to review your deliverable as if they were your supervisor in the scenario. Review the scoring guide prior to developing and submitting your assessment.

Evaluation
By successfully completing this assessment, you will demonstrate your proficiency in the following course competencies through corresponding scoring guide criteria:

Competency 1: Analyze the economic environment and the role of the federal government in establishing fiscal and monetary policies.
Analyze indicators that tend to lead to recession starting points.
Explain how specific fiscal and monetary policy changes may impact a U.S. economy in recession.
Competency 2: Analyze the impact of macroeconomic principles, theories, policies, and tools on business and financial decision making.
Assess how Keynesian and Austrian macroeconomic approaches would address a recession differently.
Competency 5: Communicate in a manner that is professional and consistent with expectations for members of the business professions.
Communicate in a manner that is professional and consistent with expectations for members of the business professions.