The Fed Challenge is designed to expand students' understanding of the role of the Federal Reserve System in the economy and the importance of Federal Open Market Committee decisions. Each team makes a presentation on whether the Federal Reserve should increase, lower or hold the federal interest rate at the same level, followed by an intense question-and-answer period by the judges from the Federal Reserve.
“The team was fantastic,” said Vera Brusentsev, visiting assistant professor economics, who coached the team. “I was very proud of them. One of the judges told me that their presentation was very polished, that they did an awesome job responding to the judges' questions and that it was difficult to determine the winner.”
An e-mail from Karen Kokernak, one of the judges, to Brusentsev, said “Congratulations to you and your team! The University of Delaware did a splendid job!...We hope that you and your students enjoyed this educational experience and that you will continue to participate well into the future. The University of Delaware's team was not only truly knowledgeable, but their energy and enthusiasm were truly contagious.”
The team will receive a plaque, and each student will receive a letter of recognition and a photograph at a presentation ceremony, which the University community is invited to attend, from 4:30-5:15 p.m., Thursday, Nov. 29, in the Lerner Hall Atrium.
Senior Jon Urick, who has been on the team both years, said the team worked intensively for two to three months, meeting a few times a week, collecting data on such topics as inflation, housing and credit issues, to determine the best policy and defend their position on interest rates. The team concluded the rate should not change, he said.
For an economics major, the College Fed Challenge is an excellent experience, according to Urick. “What you learn in the classroom and in theory, comes alive as you apply it to a real world situation,” he said.
Junior Scott Ohlmacher is a veteran of Fed Challenges, beginning with his freshman year of high school. “It's a good way to apply economics to real problems, and learn how financial markets and other factors affect the economy,” he said.
“Preparing for the challenge requires team work. You play off of each other to prepare for the competition, particularly for the question-and-answer period, which is an important part of the Fed Challenge,” he said.
“We got together more and more frequently during the semester, and the day before the competition, we met in the 'Purnell War Room' to crunch the latest released statistics to keep our presentation current,” Ohlmacher said.
“We did well and, I am pleased we came in second and am looking forward to next year,” he said.
Other team members included Franklin Andujar, Alex Blau, Ben Baxter, David Giattino, Andrew Hausman, Jessica Hirsch, Nicole Jacobs, Ryan McWilliams and Soo-Jin Song.
Jim Butkiewicz, Burt Abrams and Jeff Miller, all professors of economics, also worked with the team.
Article by Sue Moncure
Photo by Duane Perry