How did the Fed encourage business confidence after the September 11 terrorist attacks?
A) by lowering corporate taxes
B) by reducing money supply
C) by lending billions to banks
D) by putting a moratorium on bank loans

Question

Quizplus · Accepted Answer

The Fed encouraged business confidence after the September 11 terrorist attacks by lending billions to banks. This move helped stabilize the banking system and ensure the availability of credit, which helped support businesses and the economy overall. Lowering corporate taxes or putting a moratorium on bank loans would not have had the same impact on business confidence. Reducing money supply could have actually decreased business confidence, as it would have made it harder for companies to access credit and invest in growth.

How Did the Fed Encourage Business Confidence After the September