ECO 372 Week 3 Learning Team Paper

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ECO 372 Week 3 Learning Team Paper
ECO 372 Week 3 Learning Team Paper
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ECO 372 Week 3 Learning Team Paper

Purpose of Assignment 

Week 3 will help students develop an understanding of what money is, what forms money takes, how the banking system helps create money, and how the Federal Reserve controls the quantity of money.

Assignment Steps 

Resources: National Bureau of Economic Research 

Develop a 2,100-word economic outlook forecast that includes the following:

  • What are the factors that would influence the Federal Reserve in adjusting the discount rate?

  • How does the discount rate affect the decisions of banks in setting their specific interest rates?

  • How does monetary policy aim to avoid inflation?

  • How does monetary policy control the money supply?

  • How does a stimulus program (through the money multiplier) affect the money supply?

  • Currently, what indicators are evident that there is too much or too little money within the economy? How is monetary policy aiming to adjust this?

  • What are some major differences between the Federal Reserve System and the monetary system in another foreign country?

Use a minimum of three peer-reviewed sources from the University Library. 

Format your paper consistent with APA guidelines. 

Click the Assignment Files tab to submit your assignment.