An Explanation for the Low Federal Funds Rate in 2003

question 45

Multiple Choice

An explanation for the low federal funds rate in 2003 was:

• A) a fear of deflation.
• B) falling unemployment.
• C) rising inflation.
• D) the decline of the dollar vis-à-vis the euro.
• E) an attempt to boost house sales.

---

Definitions:

Corporate Form

A legal entity structure for businesses that is separate from its owners, offering limited liability and the ability to raise capital through stock.

Sole Proprietorships

A business structure where a single individual owns and operates the business, assuming all liabilities and responsibilities.

Business Organization

A structured entity formed for the purpose of conducting commercial, industrial, or professional activities, with structures ranging from sole proprietorships to corporations.

Triple Bottom Line

A framework or theory that recommends companies commit to focus on social and environmental concerns just as they do on profits, encapsulating three Ps: profit, people, and planet.