Obama plans to make a trip to Boston for a fundraising opportunity later in the week. An article from the Star Telegram stated that it would be a very expensive event to be held although it is a fundraiser. Is this controversial to the fact that Obama had planned to cut debt and budget? Most people are excited about his visit he is making up north, but do they realize what exactly they are supporting?
This could be used as a prime example of the business cycle. The visit that Obama is making could be considered as an injection because of the amount of money used to put on the event. But in return of the fundraising money, it could be considered a leakage. Although it is going to one specific cause and not just the government itself, it is relevant to the fact that the business cycle works in all ways of economics. The money supply of it all could be another factor to the monetary policy. It will go up and down on its line but time can only tell if money production of the fundraiser can raise money supply. I guess we will just have to see where this stuff takes us and wait for the business cycle and money supply to work its trend.