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Unemployment
1959→ 5.45% -
Period: to
Good Ole Days
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Per Capita GDP
1959→ $17,000 -
Inflation Rates- Inflation: an average increase in prices
$1 in 1959 is equal to $8.07 in 2015 -
CCI
Consumer Confidence was high in the 1960s, but it dropped off 1970-1971 because there was a recession. -
Impact of Interest Rate Fluctuations
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Impact of business cycles on business activities
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Intrest Rates
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GDP
1964→ $20,000 -
Inflation
$1 in 1964 is equal to $7.57 in 2015 -
Effects of Tax Policies on Business
LBJ lowered taxes to combat the War on Poverty. His “Great Society” gave lots of tax money to the poor, but taxes were still lowered for the general public. -
Unemployment
\1964→ 5.2% -
Effects of Government Expenditures
Medicare and Medicaid-
Medicare is the federal health insurance program for people who are 65 or older, certain younger people with disabilities, and people with End-Stage Renal Disease
Medicaid- A joint federal and state program that helps low-income individuals or families pay for the costs associated with long-term medical and custodial care, provided they qualify.
Higher Education Act-A law designed to strengthen the educational resources of the colleges and universities of the U.S. -
Unemployment
1969→ 3.5% -
GDP per Capita
1969→ $24,000 -
Inflation
$1 in 1969 is equal to $6.40 in 2015 -
Fiscal Policy
By the 1960s, policy-makers seemed wedded to Keynesian theories. But in retrospect, most Americans agree, the government then made a series of mistakes in the economic policy arena that eventually led to a reexamination of fiscal policy. After enacting a tax cut in 1964 to stimulate economic growth and reduce unemployment, President Lyndon B. Johnson (1963-1969) and Congress launched a series of expensive domestic spending programs designed to alleviate poverty.Johnson also increased military sp -
Impact of interest-rate fluctuations
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Consumer Spending
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Unemployment
1973→ 4.9% -
GDP
1973→ $26,000 -
Inflation
$1 in 1973 is equal to $5.29 in 2015 -
Monetary Policy
In monetary terms the 1960s in some sense was a relatively “boring” decade in the sense that inflation remained low and relatively stable and growth – real and nominal – was high and relatively stable. However, the monetary policies in the US during this period laid the “foundation” for the high inflation of the 1970s. -
Inflation
What is remarkable about the 1960s is the quite strong growth in productivity that kept inflation in check. The high growth in productivity “allowed” for easier monetary policy than would otherwise have been the case an demand inflation accelerated all through the 1960s and towards the end of the decade demand inflation was running at 5-6% and as productivity growth eased off in 1966-67 headline inflation started to inch up.
