Please learn the 2 articles, watch the vides, and publish your feedback in your group. The grading of debate is predicated on how the posts by all of your group members have addressed the dialogue questions collectively. Every group member is required to take part within the dialogue and make posts. Group members will get the identical grade.
1. Learn the article of “America’s Cash Provide Has Ballooned. What Ought to We Count on Subsequent?” from Manhattan Institute by Mickey D. Levy on July seventh, 2020 at https://economics21.org/americas-ballooning-money-supply and watch the video by the Fed Chairman, Jerome Powell: https://www.wsj.com/video/the-federal-reserve-unveils-23-trillion-in-new-lending-programs/4D21642A-236A-4696-99A4-18DC7BECC4BA.html
Evaluate the Fed’s latest aggressive financial easing and the Fed’s quantitative easing following the monetary disaster of 2008 and reply the next questions.
a. What’s the distinction between these two rounds of financial insurance policies when it comes to their affect on cash provide within the economic system?
b. How did the inflation charges transfer after the Fed’s quantitative easing following the monetary disaster of 2008? And the way do you concentrate on the affect of Fed’s latest aggressive financial easing on inflation charges?
2. Learn the article “Covid Supercharges Federal Reserve as Backup Lender to the World When the coronavirus halted the worldwide economic system” from Wall Avenue Journal by Serena Ng and Nick Timiraos on Aug. third, 2020.
a. What’s the implication of “U.S. greenback liquidity swap traces”?
b. Why is it essential for the Fed to take the position of lender of final resort for different central banks on the planet and intervene in worldwide monetary markets?
c. How do you weigh the professionals and cons in regards to the Fed’s intervention in worldwide monetary markets?