Part 1 : 150 words

Topic: Current Events in Macroeconomics – Monetary Policy

Macroeconomics is much more than just what you read in a textbook. It is what happens every day, the sum of everything that affects the well-being of all. In fact, macroeconomics affects everyone throughout the country and the world.

Choose one of the two options below and pay particular attention to any discussion relating to the macroeconomics concepts addressed in the current unit. After listening or reading, answer the following questions:

    What important new things did you learn?

    Did the topics discussed in the article or podcast relate to your personal experience in any way? If so, how? If not, how do you believe it could?

    How does this new knowledge relate to macroeconomic monetary policy tools of the Federal Reserve that are being explored in this unit and how they impact the entire economy?

    Based on what you learned, what action(s), if any, do you think the government, or society, should take?

Option 1: Podcast

Choose any podcast related to the macroeconomics concepts covered in the current unit, then choose a specific current episode of that podcast. Examples of acceptable economic-oriented podcasts include:

Option 2: Magazine or Newspaper Article

, search for a magazine or newspaper that publishes economic-related content. Select a current article related to at least one of the macroeconomics concepts addressed in the current unit.

Part 2: 150 words

Topic: Bonds

When you have a fixed investment horizon, it is important to maximize your earnings. You must understand the risks and returns of the security and the risk factors that can affect the price of the bond.

If an investor has a fixed investment horizon, what type of security can be used to minimize both the price risk and the reinvestment risk? Does this security protect the real payoff? Explain.