Which of the Following Was a Reason That the Federal

Multiple Choice

Which of the following was a reason that the Federal Reserve took on additional risks associated with unconventional policy during the recession of 2007-2009?

A) The inflated price of Treasury bills made them too expensive to purchase in open market operations.
B) The large budget deficit constrained conventional monetary policy.
C) The U.S.Treasury was unable to sell Treasury bills in the primary market.
D) The Fed was able to act more quickly than Congress.