Given the Zero Lower Bound on the Nominal Rate,the Lowest $\pi^{\mathrm{e}}$

question 7

Multiple Choice

Given the zero lower bound on the nominal rate,the lowest real interest rate the central bank can achieve is

• A)- \( \pi^{\mathrm{e}} \)
• B) \( \pi^{\mathrm{e}} \)
• C)0)
• D)i)

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