Question: Recommend an alternative policy or method that could have better resolved the financial crisis if you were a decision maker (of monetary policy or fiscal


Recommend an alternative policy or method that could have better resolved the financial crisis if you were a decision maker (of monetary policy or fiscal policy) during the period. During the 2007-2009 financial crisis, I would recommend a different type of fiscal policy that could have better resolved the crisis. In testimony entitled "The State of the Economy and Principles for Fiscal Stimulus". Which should be predictable, permanent and pervasive affecting incentives throughout the economy (Taylor, 2008). According to the 'The state of the Economy and Principles for Fiscal Stimulus" article, there are various of good fiscal packages that are consistent with these three principles; "(1) Committing to keep income tax rates where they are, effectively making current income tax rates permanent. (2) Making the worker's tax credit, which President Obama had proposed, permanent rather than temporary. (3) Enacting a responsible government spending plan that met reasonable long-term objectives, put the U.S. economy on a credible path to budget balance, and would be expedited to the degree possible without causing waste and inefficiency. (4) Recognizing that the "automatic stabilizers" will
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