In 2008, at the depth of the Great Recession, the Fed moved toward a ZIRP when it aimed to keep the Federal funds rate between
A) 2.5 percent and 3.0 percent.
B) 2 percent and 2.5 percent.
C) 1.0 percent and 1.25 percent.
D) 0 and 0.25 percent.

Question

Quizplus · Accepted Answer

During the Great Recession, the Fed aimed for a ZIRP (zero interest rate policy) and set the Federal funds rate target between 0 and 0.25 percent.

In 2008, at the Depth of the Great Recession, the Fed