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The article I have chosen for this week is critical of the Federal Reserve’s methods of stimulating the US economy. One of the problems highlighted by the author Chris Payne is that if they continue in this way the economy will become more ‘Japanised’ and it seems to him that "economic sclerosis" is becoming seen as a positive rather than a negative outcome.
Read the article and take the quiz in the next post.
Further activities
Discuss the article with a partner, do you think that the dangers Chris Payne mentions are real? What should the Federal Reserve do to stimulate the American Economy?
Research the 1930’s depression, Keynesian economic theory or the lost Japanese decade and give a short 5-10 minute talk to your class or teacher.
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