Some Countries Have Negative Nominal Interest Rates

question 187

Multiple Choice

Some countries have negative nominal interest rates. Which of the following statements about this situation is not true?

• A) A saver or lender will get back less than the amount she invested.
• B) This is mostly a result of deliberate central bank policies.
• C) Consumers are expected to save more and consume less.
• D) Consumers are expected to borrow more and spend more.

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Definitions:

Tension Pneumothorax

A life-threatening condition where air enters the space around the lungs, leading to lung collapse.

Mechanical Ventilation

A method of assisting or replacing spontaneous breathing by using a machine called a ventilator.

Peak Expiratory Flow Rate

A measurement of the highest speed at which air can be forcefully exhaled from the lungs, used in diagnosing and monitoring asthma.

Recumbent Position

A lying down posture used in medical and therapeutic settings, with variations including supine, prone, and side-lying positions.