What reason do many people think explains why the Fed overstimulated the money supply in the 1970s?
A) because of a presidential dictate to do so
B) to induce a recession
C) because of the high unemployment associated with the oil crises
D) because it was trying to control inflation

Question

Quizplus · Accepted Answer

The Fed overstimulated the money supply in the 1970s primarily due to high unemployment rates linked to the oil crises, as they aimed to boost economic activity and reduce unemployment.

What Reason Do Many People Think Explains Why the Fed