Question
1. Conduct research on the web regarding a recent U.S. Federal Reserve expansionary monetary policy action. The article I selected for this weeks discussion included
1. Conduct research on the web regarding a recent U.S. Federal Reserve expansionary monetary policy action.
The article I selected for this weeks discussion included the review of the economy rebounding, helped by stimulus payments & vaccines. The article goes into detail regarding how the federal reserve survey has found that the economy was rebounding in late February through early April.
2.Describe how the article you read for this post relates to the U.S. Federal Reserve and monetary policy.
This article relates to the U.S. Federal Reserve and monetary policy due to recent roll out of mass vaccinations and the stimulus payments to qualifying Americans. These two items have been key to driving the economy back towards where it was pre-pandemic, there for impacting the federal policy.
3.Choose a company that you would like to apply this policy to, and describe the company, its primary markets, and its business model (how it makes money).
I select the manufacturing company of Avery Dennison. Avery Dennison has target markets for other distributors and companies by supply labels for medicines, amazon packages, and healthcare industries. With the uptick in production expanding, this has caused a high decrease in demand for labels to be produced.
4.What macroeconomic and microeconomic results could occur as a result of this policy?
Inflation targeting is a macroeconomic result for Avery. This could be impacted by a large increase or decrease in product demand causing an increase in overall production.
Microeconomicscould be affected if companies began creating their own manufacturing labels for their goods and services that they provide, or competitors will begin to offer their services cheaper to the higher purchasing companies.
5.How would this policy affect you as a business manager for the company you chose, in your decision making related to economies of scale?
I would ensure that I have close partnerships with the larger industries that have the biggest demand. By meeting the companies demands, I could ensure that I am staffed accordingly to be able to keep up with the production that is needed to produce the goods and services.
6.How would this policy affect you as a business manager for the company you chose, in your decision making related to your business market opportunities?
I would be able to mass produce the products and ensure that overtime expenses are not occurred and the demand is still met.
- How would this policy affect you as a business manager in your decision making related to other areas related to the pursuit of the company's economic self-interest?
- How could this policy affect the company's ability to pursue:
- Strategic partnerships?
- Competitive pricing strategies?
- High-risk ventures?
- Talent acquisition?
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