Why do many people think that the Fed overstimulated the money supply in the 1970s?
A) because of a presidential dictate to do so
B) to induce a recession
C) because of the unemployment associated with the oil crises
D) because it was trying to control inflation

Question

Quizplus · Accepted Answer

The Fed increased the money supply in response to high unemployment rates caused by the oil crises, which led to inflationary pressures.

Why Do Many People Think That the Fed Overstimulated the Money