To go along with last week’s video about the debt versus the deficit, here’s another quick piece that sums up a complicated financial concept using striking visuals. In this video, The New York Times constructed a Rube Goldberg machine that illustrates the consequences of an interest rate hike by the Federal Reserve. In fact, the segment’s running time is so short that you might consider showing it twice just to get the point across (and to see this fascinating machine in action one more time).
- Why would the Federal Reserve want to slow down the economy?
- Along with maintaing monetary policy, what other responsibilities does the Federal Reserve have?