Problem
1. How might the impact of a change in UK interest rates be affected by:
(a) demand conditions in the USA;
(b) the expected future policy of the Federal Reserve Board?
2 Following a stock exchange crash in 1987, there was a temporary fear of a recession because of an anticipated reduction of consumption expenditure.
(a) What was the basis of this fear?
(b) Was the fear justified?
(c) Would things be any different now?
The response should include a reference list. Double-space, using Times New Roman 12 pnt font, one-inch margins, and APA style of writing and citations.