Question from Past Macroeconomics Qualifying Exam (Fall, 2004 - Question four) at George Mason UniversityEdit
Evaluate the implications for monetary and fiscal policy in a large open economy under conditions
- (1) of fixed and
- (2) of flexible exchange rates, paying particular attention to the following models:
- a. The Neoclassical Synthesis
- b. Rational Expectations
- c. Does this analysis offer any insight into whether or not large open economies should prefer fixed or flexible exchange rate systems?
- MacroS04-4 -- Same question