Objective
Each student is to select research question related to money and banking and develop a well written paper that provides insight into the topic. The goal is to obtain a better understanding of the topic, while relating the identified topic or concept with real world scenarios.
Guidelines
For this project, select one of the following research questions below. If you want to select a topic that does not appear in the list below, please contact me for approval.
1. What has been the impact of the recent mortgage crisis on the money supply in the United States? What actions did the Federal Reserve take in response to the mortgage crisis?
2. What interventions were taken by the Federal Reserve during the most recent recession and how did these actions compare to strategies implemented in the past? Were their actions successful?
3. How has the Federal Reserve strategy of the last five years affected the U.S. dollar exchange rate? Why did the Federal Reserve follow this strategy? Has it been successful?
4. How have Federal Reserve actions on the discount rate in the last three years affected inflation and unemployment in the United States?
5. What is the nature of any problems and concerns created by subprime lending for lenders, investors, borrowers, and the economy as a whole?
6. What interventions were taken by the Federal Reserve to bail out investment firms and mortgage companies? (Provide specific examples). Why did the Federal Reserve bail-out financial institutions other than commercial banks? Discuss this policy response taking into account the current structure of Federal Reserve governance and regulatory activity.
7. Explain the global market and banking connection. Are global markets regulated well? Discuss important risk considerations, including exchange risk concerns.
8. What is the connection between economic and environmental shocks (e.g. global events, wars, commodity price fluctuations) and changes