In response to the credit crisis of 2008-09, a number of central banks operated a policy of quantitative easing. Which of the following is likely to have occurred as a result of this quantitative easing?

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Quantitative easing typically involves a central bank purchasing government securities or other securities from the market to lower interest rates and increase the money supply. This action tends to decrease the rate of return on financial assets because as the demand for these assets increases (due to the central bank's purchases), their yields (or interest rates) fall. This is intended to stimulate economic activity by making borrowing cheaper and encouraging investment and spending.

In Response to the Credit Crisis of 2008-09, a Number