The week three assignment has been slightly modified. In this assignment you should display your understanding of the banking system and how the Federal Reserve controls the quantity of money. Please read and pay careful attention to how the quantity of money affects inflation and interest rates

in the long run, and production and employment in the short run.

This assignment will require you to analyze the impact of a variety of government policies on an economy. Please be sure to use applicable real world examples (Industries, businesses, and current events) in your paper.

Your paper will consists of the following key topics (anticipated word count 1200-1600):

1) Discuss how government policies can influence economic growth.

2) Analyze how monetary policy could influence the long-run behavior

of price levels, inflation rates, costs, and other real or nominal variables.

Use a minimum of three peer-reviewed sources from the University


Format your paper consistent with APA guidelines.

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