The central bank of a country is having trouble with its economy, and the financial market wants to know what you think should be done. The bank cut its policy interest rate to the effective lower bound, which wasn't low enough to stabilize the economy. What would you tell this central bank to do, based on what the Federal Reserve did during the financial crisis of 2007–2009?

Essentials Of Investments
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Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
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The central bank of a country is having trouble with its economy, and the financial market wants to know what you think should be done. The bank cut its policy interest rate to the effective lower bound, which wasn't low enough to stabilize the economy.
What would you tell this central bank to do, based on what the Federal Reserve did during the financial crisis of 2007–2009?

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