ENGLISH VERSION_Why Macroeconomic Appear?

Why Macroeconomic Appear?
Economic History and Development

The General Theory of Employment, Interest and Money, written by John Maynard Keynes in 1936, is the beginning of the macro economic development. Events 'Great Depression' (major depression) that struck the United States in the 1930's led to various ideas about macro issues. When we see the United States in 1920, the period can be referred to as the golden age or the heyday of the U.S. economy. Job opportunities open so wide, so that everyone who wants a job will get it easily. These conditions increase the overall national income the United States. Meanwhile, the prices of a wide range of needs is also stable. Truly an ideal economic conditions. But unfortunately heyday lasted only for about 9 years. Heyday of the United States began to dim began in late 1929, where the economic situation to be changed. Unemployment which is one of economic problems, emerging in the country that is as many as 1.5 million people in 1929. Four years later, unemployment increased almost nine-fold, ie as many as 13 million people, whereas the number of labor force at that time as many as 51 million. That is, unemployment has reached 25%, a figure which is quite alarming. When we see from the output produced is a very drastic decline. In 1929 the United States were able to generate $ 103 billion worth of goods and services, but in 1933 production fell by 50% only to $ 55 billion.
Major depression that struck the United States in 1929, became the starting point to re-think about the views of classical economics (Adam Smith) who adopted so far. In the classical model states that unemployment will not last long. Excess supply of labor will cause wages down so that the new equilibrium will emerge. An analysis of employment completed by the theory of demand and supply. However, it turns out the classical analysis is not able to cope with major depression that struck the United States that runs up to 10 years. Therefore, the failure of classical theory in addressing the problem of unemployment in the United States to become the cornerstone of macroeconomic development. Finally, the theories of Keynes be footing most of the macro-economics. According to Keynes that determines employment opportunities is the level of aggregate demand for goods and services, and not the price and wage proposed by the classic over the years. Keynes also argued that the government should intervene in the economy to affect the level of output and employment.





Why Macroeconomic Appear?
Description of the history of economic development at the top was an early emergence of the macro economy. Indeed, economics has economic theory. The theory is differentiated into 2 micro economics and macro economics. The theory on the nature of its society to explain how something that has the factors of production are limited, but have a desire to obtain goods and services are not limited, to make choices in producing and consuming goods and services so that the satisfaction and well-being of society can be maximized. . Both economic theory is that there is a distinguishing feature of any analysis made. More global or macro-economic in nature and more thorough analysis focuses on:
a) What about in terms of demand and supply determine the level of activity in the economy
b) Key issues are always in the face every economy
c) The role of policy and government intervention in solving the problems
Concerned about economic issues, macroeconomic review on some economic issues, among others:
1. cheaper and equalization
2. exchange rate crisis
3. foreign debt
4. banks, bad debts
5. inflation
6. economic growth
7. unemployment
Economic problems are caused because of their beliefs in a free system would realize an efficient level of economic activity in the long run. The use of full employment will always be achieved and the economy experienced strong growth. Classical economists to realize that instability in the economy and unemployment, can prevail in the economy. However, according to them the problems are only temporary validity. Free market system will make adjustments that caused the problem will disappear by itself and the economic growth of a firm will begin on back.
In other words the macro economy originated there because of the historical development of the macro economy, the emergence of economic theory and economic permaslahan should be examined.