Which of the Following Was a Justification for Breaking with the Normal

Multiple Choice

Which of the following was a justification for breaking with the normal presumption against using discretionary fiscal policy during the Great Recession?

A) Monetary policy would not be effective because interest rates were so high.
B) Crowding-out was not likely to be a problem in a very depressed economy with interest rates near zero.
C) The economy was so depressed that a political business cycle was not likely to be a problem.
D) Ricardian equivalence was likely if monetary policy was used alone.