Running head: EFFECTIVE PRESENTATION

Effective Presentation An Assignment Submitted by Name of Student Name of Establishment Class XXXX, Section XXXX, Fall 2011

EFFECTIVE PRESENTATION Effective presentation Dear head and members of the Chamber, I am delighted to present an overview of the expected US GDP growth rate and provide you with a clear understanding of the current economic situation of the US and outline what it may be based on the given data. The structure of the presentation is as follows: at first I will talk about the definition and interpretation of GDP, then I will focus on economic growth rate and its forecast based on statistical data, and I will end up with conclusions. So, GDP is considered to be the most important factor of sustainable economic growth. And it is not surprising. For instance, Haggart (2000) defines GDP as the total value, calculated in dollars, of all final production in a country. It is clear now that GDP represents the current economic situation in a particular country and its growth depicts the changes in an economy. For business leaders the changes in GDP shows that they have to adjust their strategies according to a new situation. It should be stated that economic growth can be both positive and negative. Positive economic growth shows the development of an economy while the negative indicator shows the economic recession. One of such recessions took place in 2008 2009 and was accompanied by a financial crisis. The GDP decreased by 5,1% in 2009, at the same time the unemployment rate increased significantly and reached 10% rate in October, which was persistent through 2011. In addition to that, the financial crises led to a household wealth reduction and a large increase in risk premiums. However, at the end of 2009 the economy started recovering, still the growth was slow, nevertheless, since then the economic growth is positive. Indeed, the GDP growth rate constituted 3% in 2010 and 1.6% in 2011, and it increased slightly in 2012 and was 2.2%. At the end of 2009 employment increased

EFFECTIVE PRESENTATION offering 3 million jobs and, as a result, output increased significantly. Credit conditions also became much better increasing the demand for loans. However, economic weakness was still observed. During this time the output gap decreased only from 8.1% to 6.1%, the unemployment rate fallen only by 2%. However, in conditions of a business cycle the negative growth rate during the recessions leads to a recovery, which brings the economy to its initial condition. It is evident that the trend of economic growth rate is positive, which implies that the US economy is going to develop in the long run, providing better economic conditions for business. Speaking about the forecast for 2013 the GDP growth rate is expected to be higher than in previous year, which is 2.6%, inflation is forecasted to be at the same level and the unemployment rate is going to decrease to 7.6%. A lot of sectors of the economy are predicted to expand in 2013 such as industrial production, car and light truck sales, etc. (Federal Reserve Bank of Chicago, 2012). In conclusion I want to say that business leaders should always track the current and future economic situation and adjust their policies according to the forecasts. It is clear now that the best economic indicator is GDP. And the main lesson that we should take from history is that the recession is followed by the recovery. Now the economy provides us with good conditions and we should not miss this opportunity.

EFFECTIVE PRESENTATION

References Elwell, Craig. (2012). Economic Recovery: Sustaining US Economic. Congressional Research. Solid Economic growth expected in 2012 and 2013. (2012). Federal Research Bank of Chicago. Haggart, Blayne. (2000). The gross Domestic Product and Alternative Economic and Social Indicators. Economic Division.