Question: Go to sffed-education.org/chairman. Use the Learn More button and review the tight (contractionary) and easy (expansionary) tools of the Fed as well as the use

Go to sffed-education.org/chairman. Use the Learn More button and review the tight (contractionary) and easy (expansionary) tools of the Fed as well as the use of each. Briefly examine the Economic Dictionary and the Policy in Depth features.
Now play the game! You are the Fed Chairperson! You begin with 16 quarters, 4 years, then your job is up for review. You begin with rates at 4.5, inflation at 2.14% and unemployment at 4.75%.
Make decisions on interest rates for the 16 quarters. Summarize the changes you chose and explain your results. Do you still have a job? Why or why not?

Step by Step Solution

3.51 Rating (164 Votes )

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock

Since unemployment is very high I will reduce the interest rat... View full answer

blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Document Format (1 attachment)

Word file Icon

1362-B-C-F-C-S(1204).docx

120 KBs Word File

Students Have Also Explored These Related Corporate Finance Questions!