Problem
Through a map-making error in 1992 the Absolutely Autonomous People's Republic of Kolyastan (hereafter known as Kolyastan) was created out of the more rubbishy bits of neighboring successor states to the Soviet Union. The Kolyastani central bank is run parttime by a popular local weatherman on the state-run television station. The market for Kolyastan's chief export, really really big statues of Lenin, seems to have collapsed. Most of its citizens continue to work in the enormous state-run Lenin Memorial Lenin Memorial factory, which is currently producing no revenue at all. The government subsidizes consumption of bread and kirghiz light (the local liquor) by paying merchants to keep their prices artificially low. The Kolyastani currency, the neoruble, is made up of old Soviet rubles with the top left corner cut off. Inflation is currently running at 400% per month. Although the Kolyastani government claims to be financing most of its big budget deficits through bond sales, most of these bond sales, it turns out, are to the central bank. In desperation the Kolyastani government have turned to you, a University of Chicago undergraduate, for economic advice. Briefly outline your plan for Kolyastan's recovery. Be specific. How can the Kolyastani people be certain that the reforms proposed by the government will be maintained after you graduate?
The response should include a reference list. Double-space, using Times New Roman 12 pnt font, one-inch margins, and APA style of writing and citations.