Please answer prompt#1 and 2
Prompt #1: Learning from History and Models
Compare and contrast the current economic environment with another time period in history using economic indicators and measures we have used and learned in this course. Please choose a model that I attached in additional material to illustrate the effects of two different policy responses taken by fiscal or monetary authorities on these economic environments. Be sure to discuss the intended goal of the policies you are depicting and the economic effects as predicted by the model. Why may the model be useful in guiding and informing actual policy responses? What are some shortcomings of your analysis and what are some potential resolutions? In addition to written responses and economic analyses, please use handwritten graphs and outside references to craft your overall answer. Use about 450 words to answer this prompt, not including citations.
NOTE: Please choose one model from a relevant topic that I attached for prompt 1.
Prompt #2: Investment and Growth
Use the Solow growth model to evaluate the following claim. Devoting a larger share of national output to investment would help restore productivity growth and rising living standards. Specifically, use the Golden rule analysis and graphs to support your answer. Use about 450 words to answer this prompt, not including citations.
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