Macro Mayhem
What happens if businesses become very optimistic about future profits?
increase in GDP, increase in interest
What happens if the interest rate is already very very low and the central bank starts printing more money?
Basically Nothing
What happens when a country wakes up to find that their government is causing hyperinflation? (longer term answer)
After some time: decrease in interest rates, indeterminate GDP
What happens when money printers fail while trust in digital currency plummets?
increase in interest rates, decrease in GDP
What happens to the USA (r and Y) if California made their own government and currency (they secede essentially)?
Decrease in interest rates, decrease in GDP