CFA Practice Question

There are 341 practice questions for this study session.

CFA Practice Question

True or False?

A determined central bank can always reflate the economy.
Correct Answer: False

People may decide to hold additional money balances without any change in the interest rate, so that further injections of money into the economy will not serve to further lower interest rates.

User Contributed Comments 1

User Comment
Antoinepo Example : Liquidity trap
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