The article can be located here

frbsf.org then type The COVID-19 Fiscal Multiplier: Lessons from the Great Recession

https://www.frbsf.org/economic-research/publications/economic-letter/2020/may/covid-19-fiscal-multiplier-lessons-from-great-recession/

Please answer this question that are economic based:

The 2020 fiscal stimulus package and the Fed's actions that have used highly expansionary conventional and unconventional monetary policy tools have raised the prospects of the US economy and have helped the US stock market to recover quite strongly. They have prevented many other asset prices from falling. Would the impacts of the fiscal and monetary stimulus policies on asset prices help or hinder economic recovery in the US this year? [7]

Answer:

Extra Points Question:The article points out that the fiscal multiplier is found to be higher when the interest rate is at the zero lower bound (ZLB) compared to the situation when it is above zero and is not kept constant by monetary policy. What factors may explain the higher fiscal multiplier at the ZLB? Please use the IS-LM model to make a case for your answer. [10]

Answer: