02 Jun Question 1 Why does China has an absolute advantage in labor
Question
1 Why does China has an absolute advantage in labor intensive industries? And, what does this mean for their use of physical capital and technology?
2. When comparing fiscal policy and monetary policy, which one is better at regulating the economy? What are some pros and cons of each?
3. One this one you can pick A or B to respond to:
The central bank of the United States. The Fed, as it is commonly called, regulates the U.S. monetary and financial system. The Federal Reserve System is composed of a central governmental agency in Washington, D.C. (the Board of Governors) and twelve regional Federal Reserve Banks in major cities throughout the United States. You can divide the Federal Reserve’s duties into four general areas:
– Conducting monetary policy
– Regulating banking institutions and protecting the credit rights of consumers
– Maintaining the stability of the financial system
– Providing financial services to the U.S. government
http://www.investopedia.com/terms/f/federalreservesystem.asp
A)For such a vital job to make our society run effectively, do you think that the Fed and the direction that they have guided monetary policy recently has been good or bad for the US and world economy? Additionally, do you think the Fed should get involved in the monetary policy of other countries and currencies?
B) How did those making decisions get their jobs? Did we, the people, elect them?
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