Reference no: EM132790386

1. Discussion: Federal Reserve Tools

As you read Federal Reserve focus on the three tools that the Federal Reserve uses to change the money supply and interest rates in the economy.

Navigate to the threaded discussion and respond to the following:

Write an explanation of the three tools that the Federal Reserve uses to change the money supply and interest rates in the economy.

Your audience should be considered an intelligent but uninformed citizen of the United States.

Be sure to explain why each tool works the way it does.

Defend your explanation with a detailed evaluation that demonstrates clear, insightful critical thinking.

Which of these tools is the most important and why? Defend your answer with a detailed evaluation that demonstrates clear, insightful critical thinking.

2. Discussion: Saying vs. Doing

Read the following information from the Federal Reserve pertaining to the Federal Open Market Committee (FOMC) and monetary policy implementation as "the Fed" attempts to address the weakness in the economy spawned by the Coronavirus pandemic: Federal Reserve Policy Dealing with the Pandemic

Navigate to the threaded discussion and respond to the following:

Evaluate the following statement: What the FOMC says is becoming as important as what it does regarding monetary policy implementation during the pandemic. Defend your answer with a detailed evaluation that demonstrates clear, insightful critical thinking.

Given the present economic condition and trends, evaluate how effective the Fed is at promoting economic stability. Defend your answer with a detailed evaluation that demonstrates clear, insightful critical thinking.

3. Assignment: The Aggregate Model and Fiscal/Monetary Policy

Find two or more recent articles (post April 2020) in the Wall Street Journal or other business publications that describe changes in fiscal policy during the global pandemic.

Write a answering the following regarding fiscal policy changes that have been initiated to address the economic weakness brought on by the Coronavirus pandemic:

Describe policies that could stimulate the economy? Defend your answer with a detailed evaluation that demonstrates clear, insightful critical thinking.

How do these policies relate to the model of aggregate demand and aggregate supply? Provide a detailed evaluation that demonstrates clear, insightful critical thinking.

How likely are these policies to be effective in stimulating the economy, given the pervasive weakness brought on by the global pandemic? Provide a detailed evaluation that demonstrates clear, insightful critical thinking.