The Federal Reserve maintains an accommodative monetary policy, pausing interest rates, which encourages borrowing and investment.
Government stimulus measures, such as infrastructure spending or tax cuts, are implemented to spur economic growth and boost consumer and business confidence.
Increased demand for US exports due to a weaker US dollar, resulting from...
Macro factors:
The Federal Reserve's monetary policy becomes ineffective in stimulating economic growth and inflation, leading to a prolonged period of stagflation (low growth and high inflation).
The US government's fiscal policy fails to address the structural issues in the economy, such as income inequality, stagnant wages, and rising debt levels.
The US...
