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In this exercise you have a general description of an event that has occurred

Economics

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In this exercise you have a general description of an event that has occurred. You will see a number of questions that will ask you to view the event through the lens of various concepts we have discussed during the semester. You are to describe the actions, issues, etc. associated with those concepts to the best of your ability. This may require you to do some research in order to provide the best answer to the questions posed. Please be comprehensive, but concise with your answers. Each answer should be no more than a few sentences. except for the first two which can be longer to incorporate details you feel are important.

The Event: COVID-19 has ravaged the world's economy over the last two years. The United States has taken actions to deal with the economic fallout of the virus. However, because it has moved quickly it is uncertain whether this aid will be effective and various unforeseen results may be expected. Break down the COVID-19 response into the following components and potential reactions. In some categories you may wish to talk about actions that may need to be taken to mitigate the issue in the future, or in subsequent rounds of assistance.

Questions:

• What Fiscal Policy has been used?

• What Monetary Policy has been used?

• How has Health Policy responded to COVID-19?

• What types of Prisoners Dilemmas have we seen as a result of Fiscal and Monetary policies so far?

• What kind of moral Hazards have been created or may have been created in the course of dealing with the economic and/or health aspects of covid-19?

• What Fiscal Policy has been used?

• What Monetary Policy has been used?

• How has Health Policy responded to COVID-19?

• What types of Prisoners Dilemmas have we seen as a result of Fiscal and Monetary policies so far?

• What kind of Moral Hazards have been created or may have been created in the course of dealing with the economic and/or health aspects of. COVID-19?

• Have we seen examples of Information Asymmetry? What kind?

• Have we seen examples of using Natural Law to justify actions for and against the public policies used to stop the spread of COVID-19? Give an example?

• Stay Orders and Reopening orders have pitted municipalities against states, and states against the Federal Government, suggesting a potential Constitutional crisis. How would a strict interpretation of the U.S. Constitution and our Federal system view these relationships and the authority given within the system?

• How does the Principal/Agent relationship explain what has occurred between the intention of the Federal Government and the reality of the individual cities and counties that have received CARES Act funding?

• What role may Adverse Selection play in how individuals may take advantage of Federal programs?

• Have Opportunity Costs been a factor in the COVID-19 response at any governmental level? Please give an example.

• Have we seen "special interests" or specific industries use Rent-Seeking strategies to improve their financial position? Use examples. Those strategies did not have to be successful.

• Give two examples as to how the Intensity of Preference concept has been used successfully.

• In what ways has Scarcity in the Market been seen and has price been able to bring the market to equilibrium? If not, what has?