Macroeconomics 11th Edition by Michael Parkin

تمرين 30

Based upon the news clip in Problem, explain which macroeconomic school of thought Treasury Secretary Timothy Geithner most likely follows.
Problem
Geithner Urges Action on Economy
Treasury Secretary Timothy Geithner is reported as having said that the United States can no longer rely on consumer spending to be the growth engine of recovery from recession.
Washington needs to plant the seeds for business investment and exports. "We can't go back to a situation where we're depending on a near short-term boost in consumption to carry us forward," he said.
a. Explain the effects of an increase in consumer spending on the short-run macroeconomic equilibrium.
b. Explain the effects of an increase in business investment on the short-run macroeconomic equilibrium.
c. Explain the effects of an increase in exports on the short-run macroeconomic equilibrium.