Macroeconomic reccomendation?

So your essment was based on the external impact being fewer people available to work, due to deaths or serious illness from the H1N1 virus? In the case where fewer employees are available, wages will go up, which will impact price, and supply etc. To counter act that problem, you can have fiscal policy to invest in education or job training to replace those lost workers with new workers previously not able to participate in the job market. Or you can provide a tax credit to employers to compensate for the higher wages, which will spur additional hiring.