Question
The "liquidity trap" refers to a situation
where:Solution
In a liquidity trap, interest rates are so low that everyone expects them to rise (bond prices to fall). Thus, the speculative demand for money becomes infinite—people hold any amount of money supplied. Monetary policy (increasing money supply) becomes ineffective as it doesn't lower interest rates further.
Statement: P > Q; Q ≥ W = X < Z
Conclusions: I. W < P
II. X ≤ Q
...Statement: L ≥ M ≤ R = S; M > N ≥ P
Conclusions: I. P ≤ M II. L > N
In the question, assuming the given statements to be true, Find which of the conclusion (s) among given three conclusions is /are definitely true and t...
Statements: T = U, V < M, W ≥ T, U ≤ V
Conclusion:
I. U ≤ W
II. M > U
In which of the following expressions will the expression ‘D < F’ be definitely true?
In the question, assuming the given statements to be true, find which of the conclusion (s) among given three conclusions is /are definitely true and t...
Which of the following expression symbols should replace the question mark(?) in the given expressions to make the expression C ≥ E as well as D > M d...
Statements: M > N = W; J < P = N; Y > P
Conclusions:
I. Y > W
II. M < Y
III. J > M
Statements: D > E ≥ F ≥ G; H < I = G > J
Conclusions: I. J > EÂ Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â II. G < D
...Statement: T > B = P ≥ C ; B ≥ J > F; O ≤ J ≤ C
