Write in brief about the composition of the Fed.
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The Fed intervened heavily in the credit crisis. Do you believe the Fed's intervention improved conditions in financial markets or made conditions worse?
Provide a brief narrative explanation.
Assume that the marginal propensity to save increases. If the Fed wants to keep the level of output from fluctuating, should it undertake open market purchases or sales? In your answer discuss how the composition of GDP is affected.
Institutions and growth. Write a brief essay (half page) about the role institutions for economic growth. Give a couple of examples of institutions, which tend to reduce growth. Give an example of an institution, which promotes growth.