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Sources of Stagnation

The downward spiral of America's productivity and economy.
by

Malkolm Webb

on 27 April 2010

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Transcript of Sources of Stagnation

Sources of Stagnation The downward spiral of the American economy Another issue was the difficulty of keeping
up with American saftey and health regulations
in business. It seemed that Johnson didn't bother considering the
fact that if you're funding a war in Vietnam along
side a series of domestic programs, you must increase
taxes or your economy will fall deeper into debt. With tax dollars funding the Vietnam war, civilians faced the dreaded fate of inflation. With inflation constantly on the rise, the cost of living was three times as much by the time Nixon was elected. Thinking that they'd alwas be on top, american businesses rarely
modernized any of their plants of find more efficient methods.
Unfortunately, thes sneaky Germany and Japan took advantage of this and
began to make the most technologically advanced plants making
them leaders in businesses such as steel and automobiles It seemed that this had been the end of the Liberal New Deal dream and
that America was now on a long road of economic hardships that included
an unpopular war and a unresponsive economy. America was at rock bottom.
As we have learned, the American economy has suffered a heavy blow due to negligence and poor choices, but there are two big questions to reflect upon... What could of been done differently to prevent the fall of the Liberal New deal dream? How big of an Impact was the vietnam war on our Economy? One of the main causes was the presence of women and teens in the job market. With these two groups only working part time, work was cheap for companies. Unfortunately this caused teens to lack the skill of being... well
skilled in a full time job. This would present many problems in the future.

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