Use Robert Bruners article, Fighting the Financial Crisis of 2008, and Pierre Yareds article, The Obama Stimulus, to frame the economic policy options and choices and social impacts vis-à-vis the current recession and pandemic as based on class discussions and Cavallo and Godwin (the case). Your essay should address some of the following questions? What are the lessons here? How do we avoid or deal with crises? How do we distinguish between demand and supply shocks? What are the best and worst responses to crises? What role does confidence play? How can the current pandemic turn into a financial catastrophe? How can we avoid this? How is monetary policy evolving? Where is it headed? When is fiscal policy appropriate? Your thesis should complicate our understanding of the economics of the current pandemic based on the 2008 Global Financial Crises and the policy response to it. You may draw from previous cases but the focus should be on the 2008.
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