16-35. Think about various kinds of financial institutions in the U.S. financial system. (a) Using any three of those institutions, discuss similarities and differences in the services they offer, and the roles they play in the financial system. (b) Explain how financial institutions create money. Give an example.
16-34. Research the 2008 financial crisis and the Great Recession that followed. Describe the difference between fiscal and monetary policy by using Congressional actions and Federal Reserve Bank actions as examples. Which was more effective?
16-33. Consider Japan’s trading status as the fourth-largest source of U.S. imports, and the fourth-largest market for U.S. goods exports. Would you expect that status to change soon relative to other U.S. trading partners such as Canada, China, Germany, and others? Explain.
16-32. How will Japan’s new monetary policies have an impact on the U.S. economy? Identify and discuss the ways those policies will be felt in the United States.
16-31. Consider the ways that Japan’s economy would likely be affected by having a strong yen versus a weak yen. Compare and discuss the positive implications and the negative implications for both a strong and a weak yen.