The Great Depression Illustrates That Monetary Policy Is

Multiple Choice

The Great Depression illustrates that monetary policy is

A) effective against inflation but incapable of dealing with a decline in output.
B) a source of economic instability if utilized inappropriately.
C) incapable of reversing an economic downturn when the money supply is increasing at a constant rate.
D) incapable of reversing a major downturn unless the recession stems from inflation.