Dr. Econ
Dr. Econ answers many questions with a focus on monetary policy and Federal Reserve related issues. The Doctor does not do homework, give financial advice or provide research support.
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How is the housing affordability index calculated?
Dr. Econ discusses the main drivers of housing affordability: family income and mortgage rates.
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What is the Beige Book, and what role does it play in setting interest rates for monetary policy?
Dr. Econ explains the Beige Book and discusses its role in setting interest rates for monetary policy.
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What is the advantage of putting your money in a Fed member bank versus a bank that is a nonmember? How do you know which banks are Fed members?
Dr. Econ explains the differences between a Federal Reserve System member bank and a nonmember bank, with an eye towards how consumers might be affected.
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Is the Federal Reserve a privately owned corporation?
Dr. Econ discusses the unique structure, role, and responsibilities of the Federal Reserve System within the U.S. government.
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What it the difference between the real interest rate and the nominal interest rate?
Dr. Econ discusses interest rates, with explanations of the real and nominal interest rates, as well as a discussion of the effects of inflation.
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How has the level of consumer debt changed in recent years? Are people more in debt now than ever before? How is consumer debt tracked, and what amount of debt is considered excessive?
Dr. Econ discusses why consumer debt is a concern, and examines recent trends in household debt and income.
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Which organization determines whether the U.S. economy is in a recession and what indicators are used to make that determination?
Dr. Econ talks about business cycles, and examines the role of the National Bureau of Economic Research (NBER) in determining recessions and expansions. Also discussed are some of the criteria used by the NBER.
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What is deflation, what are the risks of deflation, and how can the Fed combat deflation?
Dr. Econ defines deflation, discusses the risk of deflation given the 2001 recession and slower growth through the first half of 2003, and explains what the Fed can do to prevent deflation.
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Why do not the goals of the Federal Reserve include helping a region of the country that is in a recession?
Dr. Econ examines the monetary policy instruments available to the FOMC, and the role of the Federal Reserve Banks in shaping monetary policy.
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Where can I find forecast information on interest rates over for the next two years?
Dr. Econ shows you how you can use publicly available data to learn about the market’s opinion of future FOMC federal funds rate decisions.