Cases

Where Did All the Money GO?

At the beginning of this chapter, you read about the Fed’s role in stabilizing the economy through monetary policy like interest rates, reserve requirements and open market operations,. Using the information presented in this chapter, you should be able to answer the following questions:

  1. 16-24. Describe the differences between fiscal policy and monetary policy. What effects do you think each have on the day-to-day operations of a business? Should a business owner be concerned with these kinds of macro-economic issues? If so, why?

  2. 16-25. The Fed is supposedly a non-political body. Do you agree with this observation? Do you think it should be, or shouldn’t be? Why?

  3. 16-26. In 2017, the U.S. government was $20 ...

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