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1 January, 13:11

Which of the following statements is not correct?

A. Real GDP growth has remained positive since 2010.

B. Quantitative easing is a relatively new monetary policy tool.

C. Unemployment remained above its natural level after three rounds of quantitative easing.

D. Quantitative easing is a contractionary monetary policy

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Answers (1)
  1. 1 January, 13:36
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    D) Quantitative easing is a contractionary monetary policy

    Explanation:

    Quantitative easing is the opposite to contractionary. It is an extremely expansionary monetary policy.

    Quantitative easing ocurrs when the fed, instead of running regular open-market operations, decides to expand the amounts and types of assets it buys, in order to inject enormous amounts of money into the economy, with the aim of reactivating it.
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Home » Business » Which of the following statements is not correct? A. Real GDP growth has remained positive since 2010. B. Quantitative easing is a relatively new monetary policy tool. C.
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