The rationale is that public policy, as set forth by either the President and Congress or the Federal Reserve can have immediate and lasting impacts on the overall health of the U.S. economy through the aggregate demand and aggregate supply curves. For instance, a tax-cut proposal (stimulus check refund) essentially puts more discretionary income into the hands of consumers and increases spending levels, thus shifting out the aggregate demand curve, and expanding growth.

I have to pick ONE public policy item, and using at least3 sourcesdescribe how you think the long-run outcome will affect the overall economy? This may be in the area of prices and inflation, unemployment, or economic growth.

I don't fully understand what I am supposed to do. If I had a better understanding, I could start working on my sources.