Monetary stimulus is only helpful to an economy:

A) that is experiencing high inflation.
B) that is in recession.
C) experiencing significant negative externalities.
D) with few public goods.

Monetary Stimulus

Economic policy measures undertaken by central banks to increase the money supply and lower interest rates, aimed at boosting economic activity.

High Inflation

A situation where the general level of prices for goods and services rises rapidly over a period of time, eroding purchasing power.

Recession

A period of economic decline across the market, often recognized by a decrease in GDP for two consecutive quarters.