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Money & Banking — Interest Rates & Liquidity Trap: True, False or Uncertain? #Shorts
True, False, or Uncertain? Test yourself on Money & Banking. Statement: In a deep liquidity trap, expansionary fiscal policy becomes highly effective. Answer: TRUE Government borrowing won't push up rates, so there's no crowding-out and the multiplier is maximal. Subscribe to Macro Economics with Michael for more. #Shorts #Economics # ...
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