Homework
Choose 1 of the following topics related to the Great Recession:
o The housing price bubble, collapse, foreclosures, bailout of underwater mortgages
o Subprime mortgages and derivatives, bailout of FNMA, Freddie Mac and AIG
o The banking industry crisis, bailout of commercial and investment banks
Write a 350 to 700 words analysis of 1 of the following corrective actions taken by the Federal Reserve as a result of the crisis:
o Quantitative easing
o Purchase of toxic assets from financial institutions
o Paying interest on reserve balances
Address the following in your analysis:
o Actions taken by the Federal Reserve to mitigate the crisis
o How the corrective action helped to restore stability to the financial system
o How the corrective action should prevent recurrence of a similar crisis
Format your homework according to the following formatting requirements:
o The answer should be typed, using Times New Roman font (size 12), double spaced, with one-inch margins on all sides.
o The response also includes a cover page containing the title of the homework, the student's name, the course title, and the date. The cover page is not included in the required page length.
o Also include a reference page. The Citations and references must follow APA format. The reference page is not included in the required page length.