How about the impacts of those bailouts to the middle and low/zero income people?

Although I HATE to limit what you could cover in the paper, I would like to provide a suggestion of what I think would be a great paper for this course. Please check the writing rubrics I posted in Module 1 for the standard grading criteria, and please use APA format when you construct the paper. Let’s look back to the topics of the discussion forums you have participated. You started the first discussion by reviewing what happened in the 2006-08 financial crisis, and two topics caught our attention—housing bubble and shadow banking. After the burst of the bubble, what did the US government do? Did the Emergency Economic Stabilization Act of 2008 and other bailout help to stabilize the economy? How about the impacts of those bailouts to the middle and low/zero income people? An then we divert our focus to the trade issues….especially the trade war between US and China. I would like to encourage you to view the trade war in a different perspective. For instance, the trade unbalance has existed for a long time, but why it became such an urgent issue in the past two-three years? I personally believe, if we follow the Neo-Classical’s Economic theory, promoting globalization will naturally create the loss of manufacturing jobs and growing power for the capitalists..under the free market, capital and labor are supposed to be able to move around the world without any limit (so the comparative advantage could rule the market and everyone will be better off). In reality, labor cannot move freely…which means capitalists are able to gain power over labor since capitalists could move the jobs to where the labor costs are lower. The free capital also means capitalist could exploit profit from labor by breaking the MR=MC principle—in other words, there is no need for the capitalists to follow the wage = marginal productivity principle (or they define marginal productivity the way benefits the already rich)….what we see is now extremely high pay for CEO’s, and low pay for low skilled workers. What is next? Income inequality. The crisis and government bailout did not reduce the problem but enhanced it. And what to blame for the income inequality? –this is an everlasting topic that we need to treat it carefully. But if we cannot blame the globalization (because the textbook and main-stream economists/politicians tell us it is the RIGHT thing to do—or not?) and the connection between Wall Street and DC is so tight that even the idea to question it could cause someone’s career (This is a great book for more details)..well, why not blame China? It is easier to find a target to blame….It is fair to say China has not been playing fair game for a long time, and it needs to change as its economic and political power are growing. However, I encourage you to think a fundamental question—what really cause the income inequality? Why suddenly, after 2015-16, targeting and blaming other countries become a common practice, instead of focusing on finding the real solution? And here is the point I stop talking and turn the ball back to you…In this paper, I would like to see you include all the material from assigned reading as a summary, but I would also like to see you provide a good policy suggestion to the fundamental question I just asked…for example, what are the key causes of the on-going income inequality problems, and how can we do to make a difference?Alternatively, if other topics we have worked in the past make more sense to you (for example, financial crisis, the trade war, etc.), you are welcome to focus more of your discussion on that topic (you need only one). You are NOT allowed to choose your main topic from something not related to our three discussion forums. No exception!Here is what you need to do:1. Write a summary of all the material you have posted and learned from the previous discussion forums (including all the citations and references). Please keep in mind, it is a summary, please do not copy/paste of your previous posts. Instead, read your own posts, write a summary as if you are telling a story to your (imaginary) audience. 2. Pick one topic from step 1, go further and deeper. Please note I expect high good quality of research work and argument from you. This paper needs to be written “in your own words”. Please DO NOT copy/paste someone else’s work (you are free to cite the material, of course). I expect a very educated and “personal” paper. I want to learn why the topic attracts to you, how do you construct your logic and argument, and what are your policy suggestions. I know some of the students in my past classes used service from the writing center or other helps. It is fine, but I will NOT give you a good grade if all I see is a generic paper, no matter how fancy it looks like. In short, this paper should be your own “baby”, a final product to present you,and you are proud to show everyone what you have learned. 3. Be careful to follow the APA citation rule to avoid plagiarism. 4. Please make sure your citation is correct and related to the topics.