In Response to the Persistence of Recessionary Gaps,some Central Banks

question 34

Multiple Choice

In response to the persistence of recessionary gaps,some central banks have engaged in unconventional monetary policies such as

• A) increasing deposit insurance.
• B) reducing the velocity of money.
• C) increasing open-market operations.
• D) increasing seigniorage.
• E) quantitative easing.

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Definitions:

Bystander Intervention

The act of stepping in to help when someone sees another person in a harmful situation, influenced by various psychological factors.

Emergency Squad

A specialized team or group of services that respond to and manage emergencies.

Bystander Effect

One reason people fail to help strangers in distress: The larger the group a person is in, the less likely he is to help, partly because no one in the group thinks it is up to him to act.

Commotion

Commotion refers to a state of noisy confusion or disorder.