Which of the Following Is Not a Reason Why After

Multiple Choice

Which of the following is not a reason why after the Great Recession, when the recovery turned out to be very weak, economic policy in the U.S. had to turn forcefully toward fiscal policy?

A) Monetary policy suffered from cyclical asymmetry.
B) The banking system fell into a liquidity trap.
C) Interest rates had already been cut to very low levels.
D) There was a time lag implementing monetary policy.