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I think the answer is the second one but I want to make sure D Question 18 2 pts When interest rates are near zero

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I think the answer is the second one but I want to make sure

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D Question 18 2 pts When interest rates are near zero and traditional monetary policy is ineffective, the Fed or other central bank may resort to a strategy referred to as quantitative easing. What does this strategy involve? O keeping interest rates very low by providing substantial reserves for as long as is necessary to avoid deflation and encourage spending increasing the money supply and interest rates at a constant rate to stimulate economic activity O reducing the money supply to raise the interest rates slowly without discouraging spending O allowing interest rates to rise slowly by providing substantial reserves for as long as is necessary to avoid inflation

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