Assignment
Overview
The first final project for this course is the creation of an informative presentation. The presentation will analyze U.S. interest rate behavior over a 10- to 15-year period during the last 50 years. Through your research, you will examine economic trends and risks, and the impact of monetary policy on interest rates.
This presentation will provide an opportunity for you to develop an understanding of interest rate behavior. By analyzing a sufficient period of time, you will identify trends and changes in interest rates and witness the impact that key economic events have on interest rate determination. In doing this, you will develop an appreciation of the relationship between policy targets and market factors, which impact economic activity.
In this assignment, you will demonstrate your mastery of the following course outcomes:
- Explain the determinants and behavior of interest rates as they relate to markets
- Analyze the relationship between monetary policy and the economy for informing responsible business decision making
Prompt
For this final project, create a PowerPoint presentation of 8-10 slides analyzing U.S. interest rate behavior over a 10- to 15-year period during the last 50 years. You will access information in the Federal Reserve Economic Database (FRED) and create a presentation that includes speaker notes and visual representations of your findings.
Specifically, the following critical elementsmust be addressed:
I. Overview: Define the specific interest rates and time period that you are analyzing, and explain why you chose them.
II. Interest Rates
A. Explain interest rate trendsover the time period and whether they have been high or low by historical standards.
B. Using FRED tools, visually illustrate changesin interest rates during the time period.
C. Describe economic risk factors that have impacted interest rates in the time period and what kind of impact they had. Consider bankruptcies, financial crises, geopolitical factors, and so on.
D. Describe underlying economic conditionsthat impacted the activity of these interest rates during the time period.
III. Monetary Policy
A. Discuss the impact of interest rate changes on general business decision-making. Consider expanding or contracting operations, deciding to undertake or postpone additions of capital (i.e., increasing productive capabilities), or increasing or decreasing inventories.
B. Explain the causal relationshipbetween the federal funds rate and market rates of interest.
C. Using your analysis of interest rates during the time period as a guide, explain the internal and external impactson the economy.
Format your assignment according to the following formatting requirements:
1. The answer should be typed, double spaced, using Times New Roman font (size 12), with one-inch margins on all sides.
2. The response also include a cover page containing the title of the assignment, the student's name, the course title, and the date. The cover page is not included in the required page length.
3. Also Include a reference page. The Citations and references should follow APA format. The reference page is not included in the required page length.