What was the primary reason for the Fed to consider rate cuts during the 1998 Asian crisis?
Greenspan Says an Insurance Cut From the Fed Makes Sense

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5 questions
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1.
MULTIPLE CHOICE QUESTION
30 sec • 1 pt
To stabilize the housing market
To increase inflation
To act as a precaution against potential economic downturns
To boost consumer spending
2.
MULTIPLE CHOICE QUESTION
30 sec • 1 pt
How does the speaker describe the effectiveness of rate cuts in addressing trade uncertainty and global economic slowdown?
Rate cuts might help, but there are trade-offs
Rate cuts are always effective
Rate cuts are never effective
Rate cuts are the only solution
3.
MULTIPLE CHOICE QUESTION
30 sec • 1 pt
What is considered an alternative to monetary stimulus according to the speaker?
Currency devaluation
Interest rate hikes
Fiscal stimulus
Tax increases
4.
MULTIPLE CHOICE QUESTION
30 sec • 1 pt
What potential consequence does the speaker mention regarding prolonged deficit increases?
Economic growth
Currency appreciation
Inflation
Deflation
5.
MULTIPLE CHOICE QUESTION
30 sec • 1 pt
What historical economic behavior is linked to inflation in the discussion?
Increased savings
Responsible fiscal management
Irresponsible fiscal behavior
Decreased spending
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