After the Great Recession When the Recovery Turned Out to Be

question 65

Multiple Choice

After the Great Recession when the recovery turned out to be very weak, economic policy in the U.S. had to turn forcefully toward fiscal policy because of the following reasons, except:

• A) Monetary policy's cyclical asymmetry
• B) The banking system fell into a liquidity trap
• C) Interest rates had already been cut to very low levels
• D) The time lags of monetary policy

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Definitions:

Toxin

A poisonous substance produced within living cells or organisms; can be harmful or fatal if absorbed by the body.

Prenatal Development

The stage of human development that occurs from conception until birth, encompassing physical, cognitive, and emotional changes in the embryo and fetus.

Embryonic Stage

The period in prenatal development from about 2 to 8 weeks after conception, where major organs and structures begin to develop.

Germinal Stage

Refers to the first two weeks of prenatal development after conception, characterized by rapid cell division and the beginning of cell differentiation.