The U.S. economy is starting to find its way through the economic turmoil caused by the

pandemic. Government policy was very active with both monetary policy and fiscal

policy attempting to keep the economy moving during the pandemic. We are starting to

see some of the effects of those policies. Analyze the effects of monetary and fiscal

policies employed during the pandemic. Include in your paper:

• An analysis of the monetary policy approach the Federal Reserve took to the

pandemic

• An analysis of the fiscal policy approach the Federal Government took to the

pandemic

• An analysis of how the attempts to influence GDP in the short-run negatively

affect GDP in the long-run

• An explanation of why the unemployment rate dropped rapidly in the United

States despite low rates of increases in GDP

• An identification, as appropriate, of the economic principles (from Module 1)

that factor into your analysis (these can be found in chapter 1 of the textbook)

• Based on Principles of Macroeconomics by N. Gregory Mankiw