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The Weekend Quiz – January 25-26, 2020

Welcome to The Weekend Quiz. The quiz tests whether you have been paying attention or not to the blog posts that I post. See how you go with the following questions. Your results are only known to you and no records are retained.

1. A fact that is overlooked by those promoting austerity programs, is that when economic growth resumes, the automatic stabilisers work in a counter-cyclical fashion and ensure that the government fiscal balance returns to its appropriate level.

2. From a monetary perspective, it would be impossible for a central bank to directly purchase Treasury debt to facilitate a national government's fiscal deficit while still targeting a non-zero policy rate.

3. . Rising government bond yields for new issues indicate:

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