Aggregate Model of the Macroeconomy


The article discusses the low growth rate of the Australian economy and suggests that the Australian macroeconomy might be facing a prolonged period of slow economic growth (i.e. a stagnation) and discusses some of the ways out of it.

Create a paper in the form of an APA formatted article that addresses the following questions. Please use at least 1 in text citation.
How is the Australian Fed responding to low growth figures so far? Are these institutions taking the right course of actions given the circumstances? You can consider monetary and fiscal policy responses of the Australian Fed and its Treasury Department.
Stagnations and recessions are usually associated with low aggregate demand in general. Increasing supply in those circumstances would not necessarily yield the best outcome for the economy unless there is strong demand accompanying it. What can be done by governments if aggregate demand is low in an economy? Are there policy tools that can help?
Unemployment has tremendous social costs that can be emotionally and mentally disruptive. Strong growth rates of an economy would provide more job opportunities for the working class. Compare the implications of an economy with high vs. low growth rates.

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