The Fed just hit the coronavirus panic button.
Questions
- Why do “experts” say that the Fed has to act “now”?
- The former Treasury Assistant Secretary for Public Affairs in the George Bush administration states that “The Fed could not ignore that there would be a real economic impact from the coronavirus.” What is that impact?
- If the U.S. is currently at full employment, what do you anticipate will be the effect of a cut in interest rates?
- Can interest rates be too low?
- Draw a graph to illustrate your answers to #2 and #3.