What fiscal policies do you think caused the crisis

Assignment Help Macroeconomics

Reference no: EM13738681

The financial crisis of 2008 has caused macroeconomists to rethink monetary and fiscal policies. Economists, financial experts, and government policy makers are victims of what former Fed chairman Alan Greenspan called a "once in a century credit tsunami"-in other words, nobody saw it coming.

Because you are now the expert in macroeconomics, your friends keep asking you your thoughts on what caused the financial crisis and whether the United States is going in the right or wrong direction with its current policies.

Focus specifically on the following:

Monetary policy

What monetary policies do you think caused the crisis?

What were the effects of the policies implemented in reaction to the crisis?

Do you think the solutions worked in the short term? In the long term?

Fiscal policies

What fiscal policies do you think caused the crisis?

What were the effects of the fiscal policies implemented in reaction to the crisis?

Do you think the solutions worked in the short term? In the long term?

Make sure you include the following concepts in your analysis:

Interest rates

The financial services industries (CDOs, CMOs, the stock market, credit flows, money markets, etc.)

Tax rebates

Aggregate demand

Stimulus

TARP

Government debt and deficit

Inflation

Unemployment

GDP

Globalization

Foreign investment

In your opinion, did government intervention help or harm the economy before and after the panic of 2008? Would you have done anything differently?

Reference no: EM13738681

Questions Cloud

Free expression or copyright piracy : Read Case Study Vidding -- Free Expression or Copyright Piracy? In one to two pages, supported by evidence from your text and from other research, respond to the following questions:

Briefly define the bargaining power of buyers : Briefly define the bargaining power of buyers and identify the buyers in this particular industry. What type of companies or individuals buy from this industry

Recruitment and selection : Review the materials and activities from this week's resources and readings. Research and write a 1250-1450 word that develops content on the subtopics noted below.

How did the 1965 immigration act change the situation : How did the 1965 Immigration Act change this situation? Why have so many well-educated Asians immigrated into the U.S. after the passage of this act?

What fiscal policies do you think caused the crisis : What monetary policies do you think caused the crisis - What were the effects of the policies implemented in reaction to the crisis?

Why was it so difficult to establish racial equality : why was it so difficult to establish racial equality throughout the us after the american civil war?

Virtual teams and communication : In this assignment, you will study the structure of virtual teams and the managerial skills required for managing them.

Reputation regarding ethical and social responsibility : Use the Internet to research the Apple Corporation, its current position and reputation regarding ethical and social responsibility, and the strategies that it currently employs to market its products.

Discuss the advantages and benefits of job costing : Discuss the advantages and benefits of job costing. Explain how job costing works. Include how job costing handles direct and indirect costs?

User Account

All Pages