The Fed Is Doing the Right Amount, Too Much and Too Little, Says Glenn Hubbard

The transcript discusses the economic recovery, likening it to a Nike swoosh rather than a V-shaped recovery. It highlights the Federal Reserve's actions during the pandemic, noting both its speed and potential overreach. The Main Street lending facility is critiqued for its structure, which may deter banks and borrowers. The need for further fiscal policy support, including aid to state and local governments and reforming unemployment insurance, is emphasized.

What shape does the economic recovery resemble according to the discussion?

• A straight line

• A V shape

• A Nike swoosh

• A U shape

What is one of the main concerns about the Federal Reserve's Main Street lending facility?

• It requires too much paperwork

• It is too expensive for borrowers

• It may not attract enough lenders and borrowers

• It is only available to large corporations

What amount did Congress appropriate to the Treasury for Fed programs under the CARES Act?

• $3.5 trillion

• $1 trillion

• $454 billion

• $100 billion

What is one of the key areas that need support according to the fiscal policy discussion?

• State and local governments

• Cryptocurrency markets

• Foreign investments

• Large multinational corporations

What is the proposed amount by Nancy Pelosi for additional fiscal stimulus?

• $1 trillion

• $2 trillion

• $5 trillion

• $3.5 trillion