Reference no: EM133117592
Choose 1 of the following topics related to the Great Recession:
The housing price bubble, collapse, foreclosures, bailout of underwater mortgages
Subprime mortgages and derivatives, bailout of FNMA, Freddie Mac and AIG
The banking industry crisis, bailout of commercial and investment banks
Write a analysis of 1 of the following corrective actions taken by the Federal Reserve as a result of the crisis:
Quantitative easing
Purchase of toxic assets from financial institutions
Paying interest on reserve balances
Address the following in your analysis:
Actions taken by the Federal Reserve to mitigate the crisis.
How the corrective action helped to restore stability to the financial system.
How the corrective action should prevent recurrence of a similar crisis.