Which of the Following Defines Quantitative Easing

Multiple Choice

Which of the following defines quantitative easing?

A) A method for setting the rate of interest, whereby interest rates will rise if (a) inflation is above target or (b) real national income is above the sustainable level (or unemployment is below the equilibrium rate)
B) A deliberate attempt by the central bank to increase the money supply by buying large quantities of securities through open market operations
C) A set of principles or rules within which economic policy operates
D) The idea that controlling a symptom of a problem, or only part of the problem, will not cure the problem; it will simply mean that the part that is being controlled now becomes a poor indicator of the problem