School of Business & Management Money and Banking BFIN 4233 Topic: The Interest Rate Dilemma for the Federal Reserve

School of Business & Management

Money and Banking
BFIN 4233

Research Paper
Topic: The Interest Rate Dilemma for the Federal Reserve
Assignment:
A 10 page paper (min 8, max 12) describing the dilemma for the Federal Reserve. This paper should give the pros and cons of raising rates and the possible consequences of raising rates or not raising rates. Some of the possible considerations should be:
• Inflation
• Employment
• Global Considerations
• Currency Issues
• US Growth
Multiple sources (Bloomberg, WSJ, Economist, Mishkin, etc…) must be used and documented with a bibliography. The theories that have been discussed should be examined and connected to current events into a theoretical context.
The paper should take a position on policy that would support either position or make a recommendation of what events the Fed should use as a guiding light for action in the economy.