US High School Economics class: Can ‘high for longer’ substitute for rate rises?

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This articlepicked by a teacher with suggested questions is part of the Financial Times free schools access programme. Details/registration here.

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Specification:

  • Monetary policy

Click to read the article below and then answer the questions:

Central banks debate: can ‘high for longer’ substitute for rate rises?

  • What two policy options are proposed as alternatives? 

  • What is the end goal of both policies?

  • Which policy is preferable? Why? 

  • Are central banks across the world implementing the same policy? Why or why not?

Ariel Slonim at MRU Econinbox