Macroeconomics 12th Edition by Rudiger Dornbusch, Stanley Fischer ,Richard Startz

Exercise 8

History Speaks 17-4 and Table 1 investigate U.S. monetary policy during the 1990-1991 recession. In this exercise you will take a look at the monetary policy conducted by the Federal Reserve during the 2001 recession. Go to http://research.stlouisfed.org/fred2 and, use the search bar to find data on money stock measures, federal government debt, commercial and industrial loans at all commercial banks, the 3-month Treasury bill rate, the 10-year Treasury bond rate, annual real GDP, and the GDP deflator. ( Note: For growth rates, you will need to download level data and transform it to growth rates before downloading.) Compare your table with Table 1 in History Speaks 17-4.