Instruction

• Read "The Fed's New Monetary Policy Tools," in Page One Economics and "How the Fed Has Respond to the COVID-19 Pandemic" written by staff at the St. Louis Fed.
  • Provide a summary in your own words of each of these articles.
• Since the end of the Great Recession, interest rates have been at historic lows—in some cases, close to zero.
  • How do near-zero interest rates limit the ability of expansionary monetary policy to work? Explain fully. Try to use this article, your textbook, or an additional source (documented) that supports your opinion.
  • Are you concerned by the Fed's recent actions regarding the money supply? Explain fully. Try to use these articles, your textbook, or an additional source (documented) that supports your opinion.
• Don't limit yourself to ideas from the module. Always strive to be detailed, specific, and clear in your writing. Assume your audience is a high school economics student.