Important of the two in the short-run vs. the long-run

Reference no: EM13755830

What I'd like is for you to write a short (maybe 6 pages or so) paper discussing the occasional conflict between the Federal Reserve's two goals as defined by its dual mandate: maximize employment (minimize unemployment) while maintaining price stability. The Federal Reserve was charged with this dual mandate by Congress and there have been occasions when the two have been in conflict.

Generally, what I'd like is for you to attempt to use what you have learned in the course to analyze the current situation in the US with regard to the potential conflict between the dual mandates. Some questions you might ask include: Is there a current conflict between the two, if so which of the two is the Fed likely to pursue? Can they achieve both? Is there a difference in important of the two in the short-run vs. the long-run?

Reference no: EM13755830

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