Explain why the Federal Reserve was able to prevent the crisis of 2008 from turning into another

Question:

Explain why the Federal Reserve was able to prevent the crisis of 2008 from turning into another Great Depression but was unable to prevent the surge in unemployment that occurred.

Fantastic news! We've Found the answer you've been seeking!

Step by Step Answer:

Related Book For book-img-for-question

Macroeconomics

ISBN: 9781464110375

4th Edition

Authors: Paul Krugman, Robin Wells

See More Books

Question Posted: Feb 28, 2024 04:01 AM

See More Questions

Read the article below and answer the questions posed, the compose response should be two to three pages in length. 1. What are 2 major planning failures pre-event at Memorial that led to it becoming...
Aggregate Demand stimulus, TARP (Troubled Asset Relief Program) and or also called the bailout package helped to prevent the 2007-2009 US economy's downturn from becoming another Great Depression....
In 2008 and 2009, the US economy and many others around the world experienced a financial crisis and a severe downturn in economic activty. In many ways, it was the worst macroeconomic event in more...
8 D D D D P P P P P P P P P P P 10 Functions What is defusion. What is osnosis What is Tornicity The power house of the cell functions of the plasma? What is facilitated defusion? do they need ATP?...
A transformer has 1,000 turns of wire in the primary coil and 50 turns in the secondary coil. If the input voltage is 2400 V, what is the output voltage?
A firm identifies the following relationship between the real wage it pays and the effort made by workers: The marginal product of labor for this firm is \[ M P N=\frac{E(60-N)}{27}, \] where $E$...
Consider the fuel consumption data in Table B.18. For the purposes of this exercise, ignore regressor $x_{1}$. Perform a thorough residual analysis of these data. What conclusions do you draw from...
Fowle Marketing Research, Inc., bases charges to a client on the assumption that telephone surveys can be completed in a mean time of 15 minutes or less. If a longer mean survey time is necessary, a...
2 If logx2 = 1.2a and logx3 = 1.5a, in terms of a, find the answer to logx 12
Explain why, in the aftermath of a severe banking crisis, a very low interest rate even as low as 0%may be unable to move the economy back to full employment.
Again regarding Erin Go Broke, why do you think the Irish government tried to stabilize the situation by guaranteeing the debts of the banks? Why was this a questionable policy?
Jupiter Corp. leases a rocket-themed amusement ride with a fair value of $110,000 on the following terms: 1. Noncancelable term of 10 years. 2. Rental of $16,000 per year (at the end of each year)....
You need to lift a heavy load of inertia $m_{c}$ upward with an acceleration of magnitude $g / 8$. You have two pulleys of inertia $m_{\mathrm{p}} \ll m_{i}$, one attached to a beam above the...
A $0.36-\mathrm{kg}$ cart and a $0.12-\mathrm{kg}$ cart are held together with a compressed spring between them. When they are released, the $0.36-\mathrm{kg}$ cart moves at \(1.1 \mathrm{~m} /...
Let $\lambda(t, x)=\lambda_{1}+\lambda_{2} x$. Prove that \[d X_{t}=\mu\left(X_{t} ight) d t+\sigma\left(X_{t} ight) d W_{t}+d M_{t}\] where $M$ is the compensated martingale of an inhomogeneous...
The motion of a nightingales wingtips can be modeled as simple harmonic motion. In one study, the tips of a birds wings were found to move up and down with an amplitude of 8.8 cm and a period of 0.82...
On a low-friction track, a $0.36-\mathrm{kg}$ cart initially moving to the right at $2.05 \mathrm{~m} / \mathrm{s}$ collides elastically with a $0.12-\mathrm{kg}$ cart initially moving to the...
In an attempt to increase tax revenues, legislators in several states have introduced legislation that would increase state excise taxes. Examine the impact of such an increase on the equilibrium...
H.J. Heinzs annual dividends were as follows: 1990 ..............$0.540 1991.............. 0.620 1992 .............. 0.700 1993.............. 0.780 1994 .............. 0.860 1995 .............. 0.940...
Consider Bob's DVD company described in Problem 4. Assume that DVD production is a perfectly competitive industry. For each of the following questions, explain your answers. a. What is Bob's...
Consider again Bob's DVD company described in Problem 4. a. Draw Bob's marginal cost curve. b. Over what range of prices will Bob produce no DVDs in the short run? c. Draw Bob's individual supply...
Consider again Bob's DVD company described in Problem 4. a. Draw Bob's marginal cost curve. b. Over what range of prices will Bob produce no DVDs in the short run? c. Draw Bob's individual supply...
3. The one-dimensional bar shown is of uniform cross-sectional area A and length L. It is clamped at the left end and subjected to a concentrated force, F, at the right end and a uniformly...
7-15. A solid uniform cube of mass m and edge length a slides along a hori- zontal plane in a direction normal to its leading edge. What is the minimum value of the coefficient of sliding friction...
Problem #3: Air at 300 K and 100 kPa flows in a long, circular pipe having a diameter of 1 m. A pitot tube is used to measure the dynamic pressure as a function of radial position relative to the...

Explain why the Federal Reserve was able to prevent the crisis of 2008 from turning into another

Question:

Step by Step Answer:

Its important to clarify that the Federal Reserves role in preventing the 2008 crisis from becoming another Great Depression is a complex and debated ...View the full answer

Macroeconomics

Students also viewed these Business questions