Here is a fun and addicting game to all you money loving FinancialJesus.com readers.
In the Fed Chairman Game you are in charge or the national monetary policy of the US.
Your goal is simple – you must adjust the Federal Funds rate in order to keep the inflation and unemployment rate stable. This game makes you realize just how difficult it is to steer the national monetary policy.
It took me at least 10 tries to keep inflation in the target 2% area, while at the same time keeping the unemployment rate at around 5% and finishing the game successfully. See if you can do better.
What is The Federal Funds Rate?
The Federal Funds rate is the interest rate that Federal Reserve (the central bank of US) uses to lend money to other banks. By changing this interest rate the FED has the ability to control the supply of money in the U.S economy. Among many things this basically gives them the power to control the amount of business done in the US and also the unemployment rate.
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