Passport to globalization: An award-winning lesson plan

In this hands-on lesson , students travel the globe and explore the Federal Reserve's use of easy and tight monetary policy to address domestic economic problems. They investigate how monetary policy can affect people differently in the foreign exchange market and how this impact, in turn, affects our nation's gross domestic policy (GDP) and standards of living in the international marketplace.

Students complete flow charts by working through a series of sequential events that, all else being equal, demonstrate how monetary policy affects various parties and the economy in general. When students complete the activities in this lesson, they receive their "passport" to understanding how Federal Reserve Board policies can affect the dynamics of international trade and globalization.