Is the FED’s present policy focused more on stimulating the
economy or on reducing inflation? Or...
Is the FED’s present policy focused more on stimulating the
economy or on reducing inflation? Or is the present policy evenly
balanced? What do you think about the FED’s policy?
Which policy measure would be more successful in stimulating the
economy: a $100 billion tax cut financed by a $100 billion cut in
government purchases, or a temporary tax credit of 10% on each
productive investment undertaken next year? Explain your
answer.
Keynes and early Keynesians maintained that monetary policy would
be ineffective in stimulating the economy, especially when the
economy is in a deep stagnation such as the Great Depression. The
U.S. economy is highly likely to slip into a deep recession because
of the coronavirus crisis. Discuss the effectiveness of the Fed’s
decision to inject a massive amount of money into the economy to
avert any possible recession.
How does stimulating the economy during Corona Virus
differ from stimulating the economy during the Great Recession?
What might be some of the long run costs of the stimulus
package?
Assess the economic situation today. Is the administration more
concerned with reducing unemployment or inflation? Does the Fed
have a similar opinion? If not, is the administration publicly
criticizing the Fed? Is the Fed publicly criticizing the
administration? Discuss.
______ is a process that involves stimulating the degradative
activities of microorganisms that are already present in
contaminated waters or soils. Give one term for the process and
discuss at least 3 types.
Monetary policy focuses on adjusting the supply of money in the
economy to manage inflation and unemployment. However, it is not
without it's limitations. One of the limits is that by reducing
interest rates, the FED seeks to stimulate borrowing and thus
purchasing. However, is there a lower limit where if rate goes down
any lower people don't borrow any additional money to buy things?
Some countries have reached interest rates of zero (Japan and
Finland) and even taken them...