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One of the Reasons That Expansionary Monetary Policy Was Not

Question 88

Multiple Choice

One of the reasons that expansionary monetary policy was not as effective as expected in recent years is that banks:


A) returned reserves that the Fed added to banks.
B) loaned reserves that the Fed added to banks.
C) held onto the reserves that the Fed added to banks.
D) purchased Treasures with the reserves that the Fed added to their accounts.

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