Fill in the follosing reslinses boxes for situations A thriugh E. Then answer the questions below thatr elate to the data in the table.

a. The situtations that correpsond to luquidity trap is (are)

b. The situtations that correspond to the case where the nominal policy interest rate is that zero lower bound is

c. the sitatuon with the higher risk premium is

Situation Nominal Expected policy inflation interest rate 2 Real Risk policy premium interest rate Nominal Real borrowing borrowing interest rate interest rate - 1 5 2 2 0 2 4 3 4 2 5