When Fed officials worried about the possibility of "Japanification" in Canada,it meant that they were worried that the U.S.economy would:

Question

Quizplus · Accepted Answer

Japanification refers to a situation where an economy experiences a long period of low economic growth, low inflation, and low interest rates. This often leads to a deflationary trap, where consumers delay purchases, leading to further economic slowdown. Therefore, option D, falling into a deflationary trap, is the correct answer.

When Fed Officials Worried About the Possibility of "Japanification" in Canada,it