In: Economics
What are the monetary policies in place at the start of the selected time period in relation to their effects on macroeconomic issues in 2000-2010?
The 2000 dotcoke bubble crash saw widespread slowdown as major tech companies went bust and subsequently an expansionary monetary policy was implemented to revive economic growth and prospects.
From 2003 to 2007 we saw continued fiscal stimulus and expansion albeit the monetary policy saw contractionary policy and sharp rise in interest rates.
After 2008 to 2010 the interest rates were brought down to zero levels because of global financial meltdown with massive bond buying and drop in CRR and SLR.
After 2010 to 2015 the US fed observed quantitative easing and kept interest rates constant and only after 2016 it rose to 2.25 percent levels after Donald Trump administration.
Again after the Coronavirus breakdown and expansionary monetary policy worth 2 trillion dollar package and bond buying and interest rates back to zero levels is proposed.
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