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You have worked a long, busy day as a health care administrator at the headquarters of Patients-R-Us, Inc., an integrated health system based in Fairfax, Virginia. Fifteen minutes before you plan to leave for home, you receive an urgent text from the office manager at a Patients-R-Us site in Alexandria, VA. She just has received a "visit" from federal agents who flash their badges and demand to see "someone in charge" who will "give them access to all office computers and hard copy files." The chief agent produces a Subpoena Duces Tecum (from the Eastern District of Virginia federal court) for your office's written and electronic documents. This law enforcement official says, very assertively, "We know what we're here to gather.
Problem 1: You and your office manager colleague in Virginia agree that your days just got a bit longer! This is the first federal "drive-by" visit that you have confronted in your career. What legal and policy concerns should you and other Patients-R-Us employees address? Apply risk management concepts: what should Patients-R-Us do - and not do - in this situation? Be specific in providing guidance to Patients-R-Us executives and the manager.
Hubbard argues that the Fed can control the Fed funds rate, but the interest rate that is important for the economy is a longer-term real rate of interest. How much control does the Fed have over this longer real rate?
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