check ALL that apply

Attempts: Average: 71 7. Monetary policy failures Which of the following are reasons why stimulative monetary policy might fail? Check all that apply. The amount of time It took the Fed to come up with a suitable policy to address an issue took too long. Businesses and households recognize that the stimulative monetary polley will result in higher inflation but don't adjust their borrowing and spending habits until after the price increase. Despite an increase in the money supply, banks may still be unwilling to extend credit to high-risk borrowers because they have a responsibility to their stakeholders to avoid loans that are likely to default Businesses and households recognize that the stimulative monetary policy will result in higher inflation, so they borrow and make planned expenditures prior to the price increase, offsetting the effects of the policy