If consumers and businesses are especially pessimistic, as in the Great Recession of 2007-2009, and do not want to borrow money from banks, then the use of an expansionary money policy is likened to
A)completing the circle.
B)pushing on a string.
C)filling in the blanks.
D)checking the list.

Question

Quizplus · Accepted Answer

When consumers and businesses are pessimistic and unwilling to borrow, expansionary monetary policy is ineffective, similar to "pushing on a string," where efforts to stimulate borrowing and spending do not yield the desired results.

If Consumers and Businesses Are Especially Pessimistic, as in the Great