(BQ) Part 1 book "Macroeconomics principles & policy" has contents: Money and the banking system, the financial crisis and the great recession, the financial crisis and the great recession, exchange rates and the macroeconomy,.and other contents. | Find more at Part 3 Fiscal and Monetary Policy I 11 Managing Aggregate Demand: Fiscal Policy 12 Money and the Banking System 13 Monetary Policy: Conventional and Unconventional 14 The Financial Crisis and the Great Recession 15 The Debate over Monetary and Fiscal Policy 16 Budget Deficits in the Short and Long Run 17 The Trade-Off between Inflation and Unemployment C H A P T E R S n Part 2, we constructed a framework for understanding the macroeconomy. The basic theory came in three parts. We started with the determinants of the long-run growth rate of potential GDP in Chapter 7, added some analysis of short-run fluctuations in aggregate demand in Chapters 8 and 9, and finally considered short-run fluctuations in aggregate supply in Chapter 10. Part 3 uses that framework to consider a variety of public policy issues—the sorts of things that make headlines in the newspapers and on television. At several points in earlier chapters, beginning with our list of Ideas for Beyond the Final Exam in Chapter 1, we suggested that the government may be able to manage aggregate demand by using its fiscal and monetary policies. Chapters 11–13 pick up and build on that suggestion. You will learn how the government tries to promote rapid growth and low unemployment while simultaneously limiting inflation—and why its efforts do not always succeed. This material will enable us to understand better the unhappy events that began to unfold in 2007—which we do in Chapter 14. Then, in Chapters 15–17, we turn explicitly to a number of important controversies related to the government’s stabilization policy. How should the Federal Reserve do its job? Why is it considered so important to reduce the budget deficit? Is there a trade-off between inflation and unemployment? By the end of Part 3, you will be in an excellent position to understand most of the important debates over national economic policy—not only today but also in the .
