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Anna [14]
3 years ago
8

Did the federal government respond to the Great Recession of 2007-2009 with the right policy tools? Why or why not?

History
1 answer:
Oxana [17]3 years ago
5 0

Yes, the federal government responded to the great recession of 2007-09.

<u>Explanation: </u>

The United States endured the most serious post-war depression between December 2007 and June 2009.

The economic crisis of 2007-09 was long enough to call itself the "Great Recession" and accompanied by a lengthy and exceptionally slow recovery. The financial crisis was deep and severe enough.

The subsequent recessions have been followed by two types of policy mechanisms: monetary and fiscal.  

Monetary policy is used to preserve low-interest rates and reduce unemployment both during and after depression, which is the Act regarding the Federal Reserve .

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