Four Factors of Economic Growth based on Pres. Obama's SONA on 2015

Your Name
Subject and Section
Professor’s Name
March 21, 2022
Examination
Keynesian economics specifically provides for the various components that are important in the determination of a country’s economy. One of the main foundations of Keynes’ theory is that the determination of the effectiveness of an economy depends on four factors, namely; (1) net exports, (2) government purchases, (3) investments, and (4) consumption. Being the four determinants of economic growth, these factors must also be present in any approach that the State should employ in its planning and implementation. Additionally, I would like to use the theories of Adam Smith to add to the theories posed by Keynes.
In line with the 2015 State of the Nation Address by President Obama, I believe that these four were specifically mentioned, which posed for the foundation of a strong economy during his term.
Four Factors of Economic Growth
President Obama’s 2015 SONA specifically provided that the United States’ economic strength is based on the presence of these four Keynesian factors as provided above. In fact, I realized that the mention of these factors in his speech was designed in order to show the effectiveness of his economic platforms and to outline his future plans for the country.
First, President Obama noted that during his term the United States was able to improve its net export more than before, which then fueled the improvement of other sectors of society and economy such as the workforce, infrastructure, and others. Additionally, other parts of his speech would highlight that his administration’s foreign policy was able to improve the “free and fair” trade relationships with Europe. In line with Keynesian Economics, this neo-liberal approach that focuses on deregulation o...