You Decide Assignment Example | Topics and Well Written Essays - 250 words

You Decide - Assignment ExampleThis will help to ease the largenessary pressure in the economy, which will reduce aggregate demand. I withal agree with Tanneys recommendation about increasing interest rates and raising the Federal Reserve requirements, since it will help in reducing acceptation rates. This policy will make it more attractive for investors to save their money, since the interest rates are high, which reduce disposable income (Epstein, 2007). In the same case, I resist with Lopezs proposition that the government should leave interest rates alone and focus on Federal Reserve requirements. In my opinion, the two factors go unneurotic in reducing inflation. I also disagree with Burkes recommendation that the government should lower interest rates, since it will have a disallow effect on the inflation being witnessed.Finally, I would make a recommendation the government should introduce some form of wage control policies, since a sharp growth in wages causes increase d inflation (Krugman and Wells, 2009). In this case, the government should focus on wage control which will ensure that the inflation rate is