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Problem 1. Financial Accelerator (15 points ). Suppose that you are a junior economist at the U.S. Treasury Department . Treasury Secretary Janet Yellen has

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Problem 1. Financial Accelerator (15 points ). Suppose that you are a junior economist at the U.S. Treasury Department . Treasury Secretary Janet Yellen has asked you to deliver a very short non -technical speech during a press conference about the basic setup of the financial mm mm result (5) it delivers . Secretary Yellen informs you that the script for your speech should be no longer than 120 words . And , although you are not required to, if you choose to use any mathematical expressionm limited to use one (and only one) informative mathematical expression . If you do use math , Secretary Yellenwill allow10 extra words in your speech (for a total of 130 words }. (Any mathematical expression you choose to use does not count against the word count .) l NOTE :In the nding process , TWO POINTS will be deducted for each word beyond 120 (or 130 if you include an equation ). l SCRIPT

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