Memo

Writing Planning Worksheet
(Each response should be a few words to about one sentence. This is to help you
plan your writing, so don’t worry about writing great sentences.)
1. What is the public policy topic you have chosen from this week’s readings and
lectures? Choose a topic that presents a problem in this policy area.
Effects of monetary policy and stagflation and how to prevent
2. What is the problem?
Monetary policy tightens demands of goods. Affect both consumer decisions and business
spendings.
3. What is the impact of the problem, and who does it affect?
Stagflation slows down economic growth, brings higher prices while unemployment is weak.
4. What solution could you recommend? The solution can be an original idea, or you may use a
previously-proposed solution, as long as you credit the author.
Robert A. Mundel: “The correct policy mix is based on fiscal ease to get more production out
of the economy, in combination with monetary restraint to stop inflation. The increased
momentum provided by the tax cut will cause sufficient demand for [money] to permit real
monetary expansion at higher rates.”
5. Who is your audience? (Is this an educated audience? It makes a difference in how
you write.)
Big corporations who can make a difference if stagflation comes.
Reference
Silver, Nate. The Signal and the Noise: Why so Many Predictions Fail – but Some
Don’t. The Penguin Press, 2012.