Which of the Following Reduced the Effectiveness of the Fed's

question 123

Multiple Choice

Which of the following reduced the effectiveness of the Fed's low interest rate policy during  the aftermath  of the 2008-2009 recession?

• A) The heavy indebtedness of households.
• B) The reduction in the earnings derived from savings accounts, certificates of deposits, and other forms of savings used by many Americans.
• C) The increased fear of inflation fueled by the Fed's expansionary monetary policy.
• D) All of the above.

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