Negative nominal interest rates work because
A)they are good for banks.
B)they cause consumption to go down.
C)they reduce investment.
D)nominal interest rates cannot go above zero.
E)they act to reduce the output gap.

Question

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The Answer of Negative nominal interest rates work because
A)they are good for banks.
B)they cause consumption to go down.
C)they reduce investment.
D)nominal interest rates cannot go above zero.
E)they act to reduce the output gap.

Negative Nominal Interest Rates Work Because