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Go to https://www.sffed-education.org/chairthefed/default. Use the Learn More button and review the tight (contractionary) and easy (expansionary) tools of the Fed as well as the use of each. Briefly examine the Economic Dictionary and the Policy in Depth features. Now play the game! You are the Fed Chairperson! You begin with 16 quarters, 4 years, and then your job is up for review. You begin with rates at 4.5, inflation at 2.14% and unemployment at 4.75%.

 

Make decisions on interest rates for the 16 quarters. Summarize the changes you chose and explain your results. Do you still have a job? Why or why not?

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Solution Preview

As I began to read this article yet still trying to understand it all.  I think the company over estimated the hiring employment, but at the same time, cutting jobs, or having less man power to do the work.  Creating the machines or finding more economical ways to adhere to the work, caused a unemployment rate drop.  In which it caused less money that they had to pay workers., there was a big over budget which caused the pay scale to drop, and of course the rate of hiring 

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