Theories of Macroeconomic Development and Strategy.
Click on the links below and Read the articles. You can also use pdf. files with the articles posted in Content Week 7 Articles for Discussion week 7 area.
What Is Keynesian Economics?
https://www.imf.org/external/pubs/ft/fandd/2014/09/basics.htm
· What Is Monetarism?
https://www.imf.org/external/pubs/ft/fandd/2014/03/basics.htm
· Averting Financial Crises: Advice from Classical Economists Thomas M. Humphrey
https://www.richmondfed.org/publications/research/econ_focus/2014/q4/federal_reserve
In your initial response to the topic you have to answer all questions:
1. Should the government use monetary and fiscal policy to stabilize the economy, or should it adhere to policy rules and refrain from upsetting the economy? To answer this question please compare and contrast the view of Keynesian economics to Monetarist economists.
What would the Classicals have thought about the Feds handling of the financial crisis? Compare the Classicals view to Monetarist view Feds handling of the financial crisis.
Reflection the students also should include a paragraph in the initial response in their own words, using macroeconomic terminology, reflecting on specifically what they learned from the assignment and how they think they could apply what they learned in the workplace or in everyday life.