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    Macroeconomics, Theories and Policies 2
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    Exam 3: Economic Models,Concepts and Theories: Part B
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    Liquidity Trap Sets a Loop
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Liquidity Trap Sets a Loop

Question 19

Question 19

Multiple Choice

Liquidity trap sets a loop:


A) below which the discount rate cannot fall
B) above which discount rate cannot rise
C) below which the market rate of interest cannot fall
D) above which market rate of interest cannot rise

Correct Answer:

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