Middle East Economic Survey

VOL. LIII

No 10

8-March-2010

Diagnostics And Reforms Drawn From The Great Recession

By Shawkat Hammoudeh

Dr Hammoudeh is Professor of Economics and International Business at Drexel University. He can be reached at hammousm@drexel.edu.

In a traditional recession, a central bank such as the US Federal Reserve may overshoot its targets in overreaction to rising inflation. This can bring a healthy economy into an ordinary recession. Traditional monetary instruments such as...