01 Jun Question Instructions: Answer all three questions.
Question
Instructions: Answer all three questions.
1. Suppose that you have been hired as a consultant to advise the Federal ReserveBank on Monetary Policy. They seek to eliminate our persisting unemployment situation. Devise a package of steps involved with your monetary policy stimulus plans, and convince Fed chairman Bernanke to use your approach.
2. With the ongoing unemployment, the Obama Administration, Congress and theFederal Reserve continue to struggle for stimulus solutions. They seem to be taking both Fiscal and Monetary Stimulus measures. Compare and contrast the detailed dynamics, mechanisms, and potentials of Fiscal Policy and Monetary Policy.
3. Some reject stimulus measures in all current policy forms. These economists focus on the damaging activities and decisions of (a) private corporations, (b) commercial banks, and (c) wealthy individuals. How can these three groups thatlead our private market system, each in their own way, frustrate and foil the goals of a combined fiscal and monetary stimulus program.
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