We have covered many topics in our macroeconomic journey this year. Please discuss one topic you think is important. Please explain why you think is its important and why you choose it over one or two other possibilities (This is a "depth" question allowing the students to show that they really engaged with a major topic in the course.)
I want to talk about monetary policy and say why it is more important than fiscal policy that we covered in class. Is it okay to say: monetary policy is handled by the Fed and that it has gone through many revisions and trial-and error in the past. Now there is a lower bound and an upper bound to the federal funds rate, which is naturally set by IOER and ON RRP. Even though we covered other topics in our course like fiscal policy, I think it was more important that we covered monetary policy because it is controlled by the Fed that is independent from the government and the politics involved.
Is this good, or should I add on?
Yes, the monetary policy is an... View the full answer