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The country has been in a prolonged recession, some might say we have recovered from a depression, but are still in the recession that started in 2007. What changes would you suggest are needed from open market operations (quantitative easing), the discount rate at which banks pay for money from the Fed, and reserve requirements at banks. Explain how each change would affect bank reserves, the money supply, interest rates and aggregate demand and how this would help improve the economy. At least 150 words please.
This document contains various important questions and their appropriate answers in the subject field of Economics.
Economics is the study of the principles governing the allocation of scarce means among competing ends when the objective of the allocation is to maximize the attainment of the ends.
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