Refer to Figure 14

Multiple Choice

Refer to Figure 14.4 below,which shows the inflation rate and ten-year bond yield,for the following questions.
-To eradicate deflation during the Great Depression,the Fed __________ and __________.

A) raised the real interest rate;lowered the inflation rate
B) bought subprime loans from banks;lowered nominal interest rates
C) lowered the nominal interest rate;abandoned the gold standard
D) temporarily closed;operated under the Treasury Department
E) printed money;borrowed heavily from the United Kingdom