Quantitative Easing Occurs When the Central Bank

question 28

Multiple Choice

Quantitative easing occurs when the central bank

• A) purchases long-term assets.
• B) purchases short-term assets.
• C) engages in open market operations.
• D) performs a helicopter drop.
• E) increases its interest rate target.

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Definitions:

Negative Punishment

A behavioral psychology term where the removal of a desirable stimulus occurs after a behavior, leading to a decrease in that behavior.

Aggressive Behavior

Refers to actions or attitudes that can lead to hostility or attacks on others, often stemming from anger or frustration.

Modeling

A method of learning that involves observing and mimicking the behavior of others.

Ineffective Punishment

A form of discipline that fails to decrease the occurrence of a behavior; it may lack consistency, immediacy, or connection to the specific behavior.